Cover
Cover - shares | 3 Months Ended | |
Mar. 31, 2024 | Apr. 30, 2024 | |
Entity Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Mar. 31, 2024 | |
Document Transition Report | false | |
Entity File Number | 001-38469 | |
Entity Registrant Name | Equitable Holdings, Inc. | |
Entity Incorporation, State or Country Code | DE | |
Entity Tax Identification Number | 90-0226248 | |
Entity Address, Address Line One | 1345 Avenue of the Americas | |
Entity Address, City or Town | New York | |
Entity Address, State or Province | NY | |
Entity Address, Postal Zip Code | 10105 | |
City Area Code | 212 | |
Local Phone Number | 554-1234 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 325,244,542 | |
Document Fiscal Period Focus | Q1 | |
Document Fiscal Year Focus | 2024 | |
Amendment Flag | false | |
Entity Central Index Key | 0001333986 | |
Current Fiscal Year End Date | --12-31 | |
Common Stock | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Common Stock | |
Trading Symbol | EQH | |
Security Exchange Name | NYSE | |
Depositary Shares, each representing a 1/1,000th interest in a share of Fixed Rate Noncumulative Perpetual Preferred Stock, Series A | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Depositary Shares, each representing a 1/1,000th interest in a share of Fixed Rate Noncumulative Perpetual Preferred Stock, Series A | |
Trading Symbol | EQH PR A | |
Security Exchange Name | NYSE | |
Depositary Shares, each representing a 1/1,000th interest in a share of Fixed Rate Noncumulative Perpetual Preferred Stock, Series C | ||
Entity Information [Line Items] | ||
Title of 12(b) Security | Depositary Shares, each representing a 1/1,000th interest in a share of Fixed Rate Noncumulative Perpetual Preferred Stock, Series C | |
Trading Symbol | EQH PR C | |
Security Exchange Name | NYSE |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 | |
Investments: | |||
Fixed maturities available-for-sale, at fair value (amortized cost of $75,270 and $74,033) (allowance for credit losses of $4 and $4) | $ 67,606 | $ 67,030 | |
Fixed maturities, at fair value using the fair value option | [1] | 1,687 | 1,654 |
Mortgage loans on real estate (net of allowance for credit losses of $297 and $279) | [1] | 18,570 | 18,171 |
Policy loans | 4,191 | 4,158 | |
Other equity investments | [1] | 3,502 | 3,384 |
Trading securities, at fair value | 1,340 | 1,057 | |
Other invested assets | [1] | 5,724 | 6,719 |
Total investments | 102,620 | 102,173 | |
Cash and cash equivalents | [1] | 10,357 | 8,239 |
Cash and securities segregated, at fair value | 866 | 868 | |
Broker-dealer related receivables | 1,808 | 1,837 | |
Deferred policy acquisition costs | 6,804 | 6,705 | |
Goodwill and other intangible assets, net | 5,419 | 5,433 | |
Amounts due from reinsurers (allowance for credit losses of $8 and $7) | 8,387 | 8,352 | |
Current and deferred income taxes | 2,063 | 2,050 | |
Purchased market risk benefits | 8,337 | 9,427 | |
Other assets | [1] | 3,618 | 3,323 |
Assets held-for-sale | 745 | 565 | |
Assets for market risk benefits | 818 | 591 | |
Separate Accounts assets | 133,735 | 127,251 | |
Total Assets | 285,577 | 276,814 | |
LIABILITIES | |||
Policyholders’ account balances | 100,246 | 95,673 | |
Liability for market risk benefits | 12,814 | 14,612 | |
Future policy benefits and other policyholders' liabilities | 17,324 | 17,363 | |
Broker-dealer related payables | 1,022 | 1,232 | |
Customer related payables | 2,162 | 2,201 | |
Amounts due to reinsurers | 1,377 | 1,450 | |
Short-term debt | 0 | 254 | |
Long-term debt | 3,821 | 3,820 | |
Notes issued by consolidated variable interest entities, at fair value using the fair value option | [1] | 1,580 | 1,559 |
Other liabilities | [1] | 6,511 | 6,088 |
Liabilities held-for-sale | 239 | 153 | |
Separate Accounts liabilities | 133,735 | 127,251 | |
Total Liabilities | 280,831 | 271,656 | |
Redeemable noncontrolling interest | [1],[2] | 991 | 770 |
Commitments and contingent liabilities | [3] | ||
Equity attributable to Holdings: | |||
Preferred stock and additional paid-in capital, $1 par value and $25,000 liquidation preference | 1,562 | 1,562 | |
Common stock, $0.01 par value, $2,000,000,000 shares authorized; 486,728,840 and 491,003,966 shares issued, respectively; 327,616,168 and 333,877,990 shares outstanding, respectively | 5 | 5 | |
Additional paid-in capital | 2,322 | 2,328 | |
Treasury stock, at cost, $159,108,981 and 157,125,976 shares, respectively | (3,801) | (3,712) | |
Retained earnings | 10,110 | 10,243 | |
Accumulated other comprehensive income (loss) | (8,166) | (7,777) | |
Total equity attributable to Holdings | 2,032 | 2,649 | |
Noncontrolling interest | 1,723 | 1,739 | |
Total Equity | 3,755 | 4,388 | |
Total Liabilities, Redeemable Noncontrolling Interest and Equity | $ 285,577 | $ 276,814 | |
[1]See Note 2 of the Notes to these Consolidated Financial Statements for details of balances with VIEs.[2]See Note 14 of the Notes to these Consolidated Financial Statements for details of redeemable noncontrolling interest.[3]See Note 15 of the Notes to these Consolidated Financial Statements for details of commitments and contingent liabilities. |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) | Mar. 31, 2024 | Dec. 31, 2023 |
Statement of Financial Position [Abstract] | ||
Amortized cost of fixed maturities available-for-sale | $ 75,270,000,000 | $ 74,033,000,000 |
Allowance for credit losses of fixed maturities available-for-sale | 4,000,000 | 4,000,000 |
Allowance for credit losses of mortgage loans on real estate | 297,000,000 | 279,000,000 |
Allowance for credit losses of amounts due from reinsurers | $ 8,000,000 | $ 7,000,000 |
Preferred stock par value (in dollars per share) | $ 1 | $ 1 |
Preferred stock, liquidation preference | $ 25,000 | $ 25,000 |
Common stock par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock authorized (in shares) | 2,000,000,000 | 2,000,000,000 |
Common stock issued (in shares) | 486,728,840 | 491,003,966 |
Common stock outstanding (in shares) | 327,616,168 | 333,877,990 |
Treasury stock (in shares) | 159,108,981 | 157,125,976 |
Consolidated Statements of Inco
Consolidated Statements of Income (Loss) - USD ($) shares in Millions, $ in Millions | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | ||
REVENUES | |||
Policy charges and fee income | $ 614 | $ 588 | |
Premiums | 275 | 276 | |
Net derivative gains (losses) | (1,376) | (841) | |
Net investment income (loss) | 1,219 | 990 | |
Investment gains (losses), net: | |||
Credit and intent to sell losses on available for sale debt securities and loans | (20) | (66) | |
Other investment gains (losses), net | (19) | (21) | |
Total investment gains (losses), net | (39) | (87) | |
Investment management and service fees | 1,278 | 1,180 | |
Other income | 259 | 251 | |
Total revenues | 2,230 | 2,357 | |
BENEFITS AND OTHER DEDUCTIONS | |||
Policyholders’ benefits | 677 | 730 | |
Remeasurement of liability for future policy benefits | 1 | 4 | |
Change in market risk benefits and purchased market risk benefits | (1,100) | 20 | |
Interest credited to policyholders’ account balances | 566 | 463 | |
Compensation and benefits | 620 | 583 | |
Commissions and distribution-related payments | 437 | 380 | |
Interest expense | 57 | 61 | |
Amortization of deferred policy acquisition costs | 172 | 152 | |
Other operating costs and expenses | 553 | 423 | |
Total benefits and other deductions | 1,983 | 2,816 | |
Income (loss) from continuing operations, before income taxes | 247 | (459) | |
Income tax (expense) benefit | (30) | 725 | |
Net income (loss) | 217 | 266 | |
Less: Net income (loss) attributable to the noncontrolling interest | [1] | 103 | 89 |
Net income (loss) attributable to Holdings | 114 | 177 | |
Less: Preferred stock dividends | 14 | 14 | |
Net income (loss) available to Holdings’ common shareholders, basic | 100 | 163 | |
Net income (loss) available to Holdings’ common shareholders, diluted | $ 100 | $ 163 | |
Net income (loss) applicable to Holdings’ common shareholders per common share: | |||
Basic (in dollars per share) | $ 0.30 | $ 0.45 | |
Diluted (in dollars per share) | $ 0.30 | $ 0.45 | |
Weighted average common shares outstanding (in millions): | |||
Basic (in shares) | 330.2 | 361.9 | |
Diluted (in shares) | 332.7 | 364.1 | |
[1]Includes redeemable noncontrolling interest. See Note 14 of the Notes to these Consolidated Financial Statements for details of redeemable noncontrolling interest. |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Statement of Comprehensive Income [Abstract] | ||
Net income (loss) | $ 217 | $ 266 |
Other comprehensive income (loss) net of income taxes: | ||
Change in unrealized gains (losses), net of reclassification adjustment | (513) | 1,626 |
Change in market risk benefits - instrument-specific credit risk | 25 | 938 |
Change in liability for future policy benefits - current discount rate | 98 | (112) |
Change in defined benefit plan related items not yet recognized in periodic benefit cost, net of reclassification adjustment | 8 | 20 |
Foreign currency translation adjustment | (11) | 6 |
Total other comprehensive income (loss), net of income taxes | (393) | 2,478 |
Comprehensive income (loss) | (176) | 2,744 |
Less: Comprehensive income (loss) attributable to the noncontrolling interest | 99 | 91 |
Comprehensive income (loss) attributable to Holdings | $ (275) | $ 2,653 |
Consolidated Statements of Equi
Consolidated Statements of Equity - USD ($) $ in Millions | Total | Total Holdings Equity | Preferred Stock and Additional Paid-In Capital | Common Stock | Additional Paid-in Capital | Treasury Stock | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | Non-controlling Interest |
Beginning of year at Dec. 31, 2022 | $ 3,141 | $ 1,401 | $ 1,562 | $ 4 | $ 2,299 | $ (3,297) | $ 9,825 | $ (8,992) | $ 1,740 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Stock compensation | 42 | 35 | 11 | 24 | 7 | ||||
Purchase of treasury stock | (214) | (214) | (3) | (211) | |||||
Reissuance of treasury stock | (25) | (25) | (25) | ||||||
Retirement of common stock | 0 | 0 | 84 | (84) | |||||
Repurchase of AB Holding units | (18) | (18) | |||||||
Dividends paid to noncontrolling interest | (89) | (89) | |||||||
Dividends on common stock | (72) | (72) | (72) | ||||||
Dividends on preferred stock | (14) | (14) | (14) | ||||||
Net income (loss) | 253 | 177 | 177 | 76 | |||||
Other comprehensive income (loss) | 2,478 | 2,476 | 2,476 | 2 | |||||
Other | (11) | (10) | (9) | (1) | (1) | ||||
End of year at Mar. 31, 2023 | 5,471 | 3,754 | 1,562 | 4 | 2,298 | (3,400) | 9,806 | (6,516) | 1,717 |
Beginning of year at Dec. 31, 2023 | 4,388 | 2,649 | 1,562 | 5 | 2,328 | (3,712) | 10,243 | (7,777) | 1,739 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | |||||||||
Stock compensation | 44 | 35 | 16 | 19 | 9 | ||||
Purchase of treasury stock | (253) | (253) | (2) | (251) | |||||
Reissuance of treasury stock | (17) | (17) | (17) | ||||||
Retirement of common stock | 0 | 0 | 143 | (143) | |||||
Repurchase of AB Holding units | (6) | (6) | |||||||
Dividends paid to noncontrolling interest | (99) | (99) | |||||||
Dividends on common stock | (73) | (73) | (73) | ||||||
Dividends on preferred stock | (14) | (14) | (14) | ||||||
Net income (loss) | 199 | 114 | 114 | 85 | |||||
Other comprehensive income (loss) | (393) | (389) | (389) | (4) | |||||
Other | (21) | (20) | (20) | (1) | |||||
End of year at Mar. 31, 2024 | $ 3,755 | $ 2,032 | $ 1,562 | $ 5 | $ 2,322 | $ (3,801) | $ 10,110 | $ (8,166) | $ 1,723 |
Consolidated Statements of Eq_2
Consolidated Statements of Equity (Parenthetical) - $ / shares | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Statement of Stockholders' Equity [Abstract] | ||
Cash dividends declared per common share (in dollars per share) | $ 0.22 | $ 0.20 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Cash flows from operating activities: | ||
Net income (loss) | $ 217 | $ 266 |
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities: | ||
Interest credited to policyholders’ account balances | 566 | 463 |
Policy charges and fee income | (614) | (588) |
Net derivative (gains) losses | 1,376 | 841 |
Credit and intent to sell losses on available for sale debt securities and loans | 20 | 66 |
Investment (gains) losses, net | 19 | 21 |
(Gains) losses on businesses held-for-sale | (1) | 3 |
Realized and unrealized (gains) losses on trading securities | (37) | (34) |
Non-cash long term incentive compensation expense | 25 | 17 |
Amortization and depreciation | 240 | 224 |
Remeasurement of liability for future policy benefits | 1 | 4 |
Change in market risk benefits | (1,100) | 20 |
Equity (income) loss from limited partnerships | (50) | (21) |
Changes in: | ||
Net broker-dealer and customer related receivables/payables | (24) | (641) |
Reinsurance recoverable | (375) | (456) |
Segregated cash and securities, net | 2 | 468 |
Capitalization of deferred policy acquisition costs | (270) | (202) |
Future policy benefits | 117 | (95) |
Current and deferred income taxes | 85 | (738) |
Other, net | (166) | (205) |
Net cash provided by (used in) operating activities | 31 | (587) |
Proceeds from the sale/maturity/pre-payment of: | ||
Fixed maturities, available-for-sale | 1,906 | 1,481 |
Fixed maturities, at fair value using the fair value option | 199 | 30 |
Mortgage loans on real estate | 256 | 81 |
Trading account securities | 251 | 162 |
Short term investments | 282 | 589 |
Other | 142 | 211 |
Payment for the purchase/origination of: | ||
Fixed maturities, available-for-sale | (3,153) | (1,846) |
Fixed maturities, at fair value using the fair value option | (216) | (41) |
Mortgage loans on real estate | (658) | (580) |
Trading account securities | (504) | (297) |
Short term investments | (258) | (804) |
Other | (81) | (231) |
Cash settlements related to derivative instruments, net | (1,179) | (197) |
Investment in capitalized software, leasehold improvements and EDP equipment | (63) | (18) |
Other, net | 394 | 30 |
Net cash provided by (used in) investing activities | (2,682) | (1,430) |
Policyholders’ account balances: | ||
Deposits | 4,239 | 4,375 |
Withdrawals | (2,572) | (2,655) |
Transfers (to) from Separate Accounts | 401 | 309 |
Payments of market risk benefits | (202) | (172) |
Repayment of short-term financings | (254) | (8) |
Change in collateralized pledged assets | (171) | (7) |
Change in collateralized pledged liabilities | 3,663 | 665 |
(Decrease) increase in overdrafts payable | 46 | 0 |
Issuance of long-term debt | 0 | 496 |
Proceeds from collateralized loan obligations | 5 | 0 |
Dividends paid on common stock | (73) | (72) |
Dividends paid on preferred stock | (14) | (14) |
Purchase of AB Holding Units to fund long-term incentive compensation plan awards, net | (6) | (18) |
Purchase of treasury shares | (253) | (214) |
Purchases (redemptions) of noncontrolling interests of consolidated company-sponsored investment funds | 203 | 150 |
Distribution to noncontrolling interest of consolidated subsidiaries | (99) | (89) |
Change in securities lending | 31 | 0 |
Other, net | 1 | 3 |
Net cash provided by (used in) financing activities | 4,945 | 2,749 |
Effect of exchange rate changes on cash and cash equivalents | (10) | 10 |
Change in cash and cash equivalents | 2,284 | 742 |
Cash and cash equivalents, beginning of period | 8,239 | 4,281 |
Change in cash of businesses held-for-sale | (166) | (5) |
Cash and cash equivalents, end of period | 10,357 | 5,018 |
Non-cash transactions from investing and financing activities: | ||
Right-of-use assets obtained in exchange for lease obligations | $ 205 | $ 10 |
ORGANIZATION
ORGANIZATION | 3 Months Ended |
Mar. 31, 2024 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
ORGANIZATION | ORGANIZATION Equitable Holdings, Inc. is the holding company for a diversified financial services organization. The Company conducts operations in six segments: Individual Retirement, Group Retirement, Investment Management and Research, Protection Solutions, Wealth Management and Legacy. The Company’s management evaluates the performance of each of these segments independently. • The Individual Retirement segment offers a diverse suite of variable annuity products which are primarily sold to affluent and high net worth individuals saving for retirement or seeking retirement income. • The Group Retirement segment offers tax-deferred investment and retirement services or products to plans sponsored by educational entities, municipalities and not-for-profit entities, as well as small and medium-sized businesses. • The Investment Management and Research segment provides diversified investment management, research and related solutions globally to a broad range of clients through three main client channels - Institutional, Retail and Private Wealth - and distributes its institutional research products and solutions through Bernstein Research Services. The Investment Management and Research segment reflects the business of AB Holding and ABLP and their subsidiaries (collectively, AB). • The Protection Solutions segment includes the Company’s life insurance and group employee benefits businesses. The life insurance business offers a variety of VUL, IUL and term life products to help affluent and high net worth individuals, as well as small and medium-sized business owners, with their wealth protection, wealth transfer and corporate needs. Our group employee benefits business offers a suite of life, short- and long-term disability, dental and vision insurance products to small and medium-size businesses across the United States. • The Wealth Management segment is an emerging leader in the wealth management space with a differentiated advice value proposition that offers discretionary and non-discretionary investment advisory accounts, financial planning and advice, life insurance, and annuity products. • The Legacy segment consists of our capital intensive fixed-rate GMxB business written prior to 2011. The Company reports certain activities and items that are not included in our segments in Corporate and Other. Corporate and Other includes certain of our financing and investment expenses. It also includes closed block of life insurance (the “Closed Block”), run-off variable annuity reinsurance business, run-off group pension business, run-off health business, benefit plans for our employees, certain strategic investments and certain unallocated items, including capital and related investments, interest expense and corporate expense. AB’s results of operations are reflected in the Investment Management and Research segment. Accordingly, Corporate and Other does not include any items applicable to AB. As of March 31, 2024 and December 31, 2023, the Company’s economic interest in AB was approximately 61%, respectively. The General Partner of AB is a wholly owned subsidiary of the Company. Because the General Partner has the authority to manage and control the business of AB, AB is consolidated in the Company’s financial statements for all periods presented. |
SIGNIFICANT ACCOUNTING POLICIES
SIGNIFICANT ACCOUNTING POLICIES | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
SIGNIFICANT ACCOUNTING POLICIES | SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation and Principles of Consolidation The unaudited interim consolidated financial statements (the “consolidated financial statements”) have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP” or “GAAP”) on a basis consistent with reporting interim financial information in accordance with instructions to the Form 10-Q and Article 10 of Regulation S-X of the Securities and Exchange Commission (“SEC”). In the opinion of management, all adjustments necessary for a fair statement of the financial position and results of operations have been made. All such adjustments are of a normal, recurring nature. Interim results are not necessarily indicative of the results that may be expected for the full year. These financial statements should be read in conjunction with the Company’s consolidated financial statements included in the Annual Report on Form 10-K for the year ended December 31, 2023. The accompanying unaudited consolidated financial statements present the consolidated results of operations, financial condition, and cash flows of the Company and its subsidiaries and those investment companies, partnerships and joint ventures in which the Company has control and a majority economic interest as well as those variable interest entities (“VIEs”) that meet the requirements for consolidation. All significant intercompany transactions and balances have been eliminated in consolidation. The terms “first quarter 2024” and “first quarter 2023” refer to the three months ended March 31, 2024 and 2023, respectively. The terms “first three months of 2024” and “first three months of 2023” refer to the three months ended March 31, 2024 and 2023, respectively. Future Adoption of New Accounting Pronouncements Description Effective Date and Method of Adoption Effect on the Financial Statement or Other Significant Matters ASU 2023-07: Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures This ASU provides improvements to reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses. In addition, the amendments enhance interim disclosure requirements, clarify circumstances in which an entity can disclose multiple measures of segment profit or loss, provide new segment disclosure requirements for entities with a single reportable segment and contain other disclosure requirements. The ASU is effective for fiscal years beginning after December 15, 2023, and interim periods in fiscal years beginning after December 15, 2024. A calendar year public entity will adopt the ASU for its 2024 Form 10-K. The ASU should be adopted retrospectively to all periods presented in the financial statements unless it is impracticable to do so. The Company is currently assessing the additional required disclosures under the ASU including providing new segment disclosure requirements for entities with a single reportable segment. Management is evaluating the impact the adoption of this guidance will have on the Company’s consolidated financial statements. ASU 2023-09: Income Taxes (Topic 740): Improvements to Income Tax Disclosures The ASU enhanced existing income tax disclosures primarily related to the rate reconciliation and income taxes paid information. With regard to the improvements to disclosures of rate reconciliation, a public business entity is required on an annual basis to (1) disclose specific categories in the rate reconciliation and (2) provide additional information for reconciling items that meet a quantitative threshold. Similarly, a public entity is required to provide the amount of income taxes paid (net of refunds received) disaggregated by (1) federal, state, and foreign taxes and by(2) individual jurisdictions in which income taxes paid (net of refunds received) is equal to or greater than 5 percent of total income taxes paid (net of refunds received). The ASU also includes certain other amendments to improve the effectiveness of income tax disclosures, for example, an entity is required to provide (1) pretax income (or loss) from continuing operations disaggregated between domestic and foreign, and (2) income tax expense (or benefit) from continuing operations disaggregated by federal, state, and foreign. The ASU will be effective for annual periods beginning after December 15, 2024. Entities are required to apply the ASU on a prospective basis. The adoption of ASU 2023-09 is not expected to materially impact the Company’s financial position, results of operation, or cash flows. Description Effective Date and Method of Adoption Effect on the Financial Statement or Other Significant Matters SEC Release Nos. 33-11275; 34-99678, The Enhancement and Standardization of Climate-Related Disclosures for Investors The SEC adopted rules requiring registrants to disclose climate-related information in registration statements and annual reports. The new rules include disclosure of material climate-related risks, including descriptions of board oversight and risk management activities. the material impacts of these risks on a registrant’s strategy, business model and outlook and any material climate-related targets or goals. In addition, registrants will need to quantify certain effects of severe weather events and other natural conditions in a note to their audited financial statements. In April 2024, citing litigation challenging the rules that commenced immediately after they were issued, the SEC issued an order staying applicability of the rules while judicial review proceeds. Financial statement and all other disclosures are required at the beginning of the fiscal year 2025 with disclosures about material expenditure and impact required at the beginning of the fiscal year 2026. Disclosures are provided prospectively upon adoption. Scope 1 and Scope 2 Greenhouse gas emissions are required in 2026 with limited assurance in 2029 and reasonable assurance in 2033. Disclosures are provided prospectively upon adoption. The Company is currently assessing the additional required disclosures under the SEC Release. Management is evaluating the impact of the adoption of this guidance will have on the Company’s consolidated financial statements. Accounting and Consolidation of VIEs For all new investment products and entities developed by the Company, the Company first determines whether the entity is a VIE, which involves determining an entity’s variability and variable interests, identifying the holders of the equity investment at risk and assessing the five characteristics of a VIE. Once an entity is determined to be a VIE, the Company then determines whether it is the primary beneficiary of the VIE based on its beneficial interests. If the Company is deemed to be the primary beneficiary of the VIE, the Company consolidates the entity. Quarterly, management of the Company reviews its investment management agreements and its investments in, and other financial arrangements with, certain entities that hold client AUM to determine the entities the Company is required to consolidate under this guidance. These entities include certain mutual fund products, hedge funds, structured products, group trusts, collective investment trusts, and limited partnerships. The analysis performed to identify variable interests held, determine whether entities are VIEs or VOEs, and evaluate whether the Company has a controlling financial interest in such entities requires the exercise of judgment and is updated on a continuous basis as circumstances change or new entities are developed. The primary beneficiary evaluation generally is performed qualitatively based on all facts and circumstances, including consideration of economic interests in the VIE held directly and indirectly through related parties and entities under common control, as well as quantitatively, as appropriate. Consolidated VIEs Consolidated CLOs The Company is the investment manager of certain asset-backed investment vehicles, commonly referred to as CLOs, and certain other vehicles for which the Company earns fee income for investment management services. The Company may sell or syndicate investments through these vehicles, principally as part of the strategic investing activity as part of its investment management businesses. Additionally, the Company may invest in securities issued by these vehicles which are eliminated in consolidation of the CLOs. As of March 31, 2024 and December 31, 2023, respectively, Equitable Financial holds $110 million and $113 million of equity interests in the CLOs. The Company consolidated the CLOs as of March 31, 2024 and December 31, 2023 as it is the primary beneficiary due to the combination of both its equity interest held by Equitable Financial and the majority ownership of AB, which functions as the CLOs loan manager. The assets of the CLOs are legally isolated from the Company’s creditors and can only be used to settle obligations of the CLOs. The liabilities of the CLOs are non-recourse to the Company and the Company has no obligation to satisfy the liabilities of the CLOs. As of March 31, 2024, Equitable Financial holds $24 million of equity interests in a SPE established to purchase loans from the market in anticipation of a new CLO transaction. The Company consolidated the SPE as of March 31, 2024 as it is the primary beneficiary due to the combination of both its equity interest held by Equitable Financial and the majority ownership of AB, which functions as the SPE loan manager. Resulting from this consolidation in the Company’s consolidated balance sheets are fixed maturities, at fair value using the fair value option with total assets of $1.7 billion and $1.7 billion notes issued by consolidated variable interest entities, at fair value using the fair value option with total liabilities of $1.6 billion and $1.6 billion at March 31, 2024 and December 31, 2023, respectively . The unpaid outstanding principal balance of the notes and short-term borrowing is $1.6 billion and $1.6 billion at March 31, 2024 and December 31, 2023. Consolidated Limited Partnerships and LLCs As of March 31, 2024 and December 31, 2023 the Company consolidated limited partnerships and LLCs for which it was identified as the primary beneficiary under the VIE model. Included in other invested assets, mortgage loans on real estate, other equity investments, trading securities, cash and other liabilities in the Company’s consolidated balance sheets at March 31, 2024 and December 31, 2023 are total net assets of $2.5 billion and $1.8 billion, respectively related to these VIEs. Consolidated AB-Sponsored Investment Funds Included in the Company’s consolidated balance sheets as of March 31, 2024 and December 31, 2023 are assets of $188 million and $309 million, liabilities of $10 million and $10 million, and redeemable noncontrolling interests of $104 million and $203 million , respectively, associated with the consolidation of AB-sponsored investment funds under the VIE model . Also included in the Company’s consolidated balance sheets as of March 31, 2024 and December 31, 2023 are assets of $129 million and $121 million , liabilities of $4 million and $3 million , and redeemable noncontrolling interests of $21 million and $7 million , respectively, from consolidation of AB-sponsored investment funds under the VOE model. Non-Consolidated VIEs As of March 31, 2024 and December 31, 2023 respectively, the Company held approximately $2.7 billion and $2.6 billion of investment assets in the form of equity interests issued by non-corporate legal entities determined under the guidance to be VIEs, such as limited partnerships and limited liability companies, including CLOs, hedge funds, private equity funds and real estate-related funds. The Company continues to reflect these equity interests in the consolidated balance sheets as other equity investments and applies the equity method of accounting for these positions. The net assets of these non-consolidated VIEs are approximately $273.1 billion and $268.6 billion as of March 31, 2024 and December 31, 2023 respectively. The Company’s maximum exposure to loss from its direct involvement with these VIEs is the carrying value of its investment of $2.7 billion and $2.6 billion and approximately $1.3 billion and $1.3 billion of unfunded commitments as of March 31, 2024 and December 31, 2023, respectively. The Company has no further economic interest in these VIEs in the form of guarantees, derivatives, credit enhancements or similar instruments and obligations. Non-Consolidated AB-Sponsored Investment Products As of March 31, 2024 and December 31, 2023, the net assets of investment products sponsored by AB that are non-consolidated VIEs are approximately $65.5 billion and $54.6 billion, respectively. The Company’s maximum exposure to loss from its direct involvement with these VIEs is its investment of $22 million and $10 million as of March 31, 2024 and December 31, 2023. The Company has no further commitments to or economic interest in these VIEs. |
INVESTMENTS
INVESTMENTS | 3 Months Ended |
Mar. 31, 2024 | |
Investments, Debt and Equity Securities [Abstract] | |
INVESTMENTS | INVESTMENTS Fixed Maturities AFS The components of fair value and amortized cost for fixed maturities classified as AFS on the consolidated balance sheets excludes accrued interest receivable because the Company elected to present accrued interest receivable within other assets. Accrued interest receivable on AFS fixed maturities as of March 31, 2024 and December 31, 2023 was $643 million and $626 million, respectively. There was no accrued interest written off for AFS fixed maturities for the three months ended March 31, 2024 and 2023. The following tables provide information relating to the Company’s fixed maturities classified as AFS: AFS Fixed Maturities by Classification Amortized Cost Allowance for Credit Losses Gross Unrealized Gains Gross Unrealized Losses Fair Value (in millions) March 31, 2024 Fixed Maturities: Corporate (1) $ 49,975 $ 4 $ 252 $ 5,865 $ 44,358 U.S. Treasury, government and agency 5,759 — — 1,264 4,495 States and political subdivisions 586 — 6 79 513 Foreign governments 711 — 2 122 591 Residential mortgage-backed (2) 2,678 — 10 148 2,540 Asset-backed (3) 11,852 — 60 85 11,827 Commercial mortgage-backed 3,653 — 4 434 3,223 Redeemable preferred stock 56 — 3 — 59 Total at March 31, 2024 $ 75,270 $ 4 $ 337 $ 7,997 $ 67,606 December 31, 2023: Fixed Maturities: Corporate (1) $ 49,786 $ 4 $ 320 $ 5,360 $ 44,742 U.S. Treasury, government and agency 5,735 — 2 1,106 4,631 States and political subdivisions 614 — 9 74 549 Foreign governments 719 — 3 111 611 Residential mortgage-backed (2) 2,470 — 18 133 2,355 Asset-backed (3) 11,058 — 52 109 11,001 Commercial mortgage-backed 3,595 — 2 515 3,082 Redeemable preferred stock 56 — 3 — 59 Total at December 31, 2023 $ 74,033 $ 4 $ 409 $ 7,408 $ 67,030 ______________ (1) Corporate fixed maturities include both public and private issues. (2) Includes publicly traded agency pass-through securities and collateralized obligations. (3) Includes credit-tranched securities collateralized by sub-prime mortgages, credit risk transfer securities and other asset types. The contractual maturities of AFS fixed maturities as of March 31, 2024 are shown in the table below. Bonds not due at a single maturity date have been included in the table in the final year of maturity. Actual maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or pre-payment penalties. Contractual Maturities of AFS Fixed Maturities Amortized Cost (Less Allowance for Credit Losses) Fair Value (in millions) March 31, 2024 Contractual maturities: Due in one year or less $ 1,898 $ 1,877 Due in years two through five 14,627 14,108 Due in years six through ten 16,210 15,013 Due after ten years 24,292 18,959 Subtotal 57,027 49,957 Residential mortgage-backed 2,678 2,540 Asset-backed 11,852 11,827 Commercial mortgage-backed 3,653 3,223 Redeemable preferred stock 56 59 Total at March 31, 2024 $ 75,266 $ 67,606 The following table shows proceeds from sales, gross gains (losses) from sales and allowance for credit losses for AFS fixed maturities: Proceeds from Sales, Gross Gains (Losses) from Sales and Allowance for Credit and Intent to Sell Losses for AFS Fixed Maturities Three Months Ended March 31, 2024 2023 (in millions) Proceeds from sales $ 444 $ 825 Gross gains on sales $ — $ 2 Gross losses on sales $ (24) $ (26) Net (increase) decrease in Allowance for Credit and Intent to Sell losses $ (2) $ (56) The following table sets forth the amount of credit loss impairments on AFS fixed maturities held by the Company at the dates indicated and the corresponding changes in such amounts: AFS Fixed Maturities - Credit and Intent to Sell Loss Impairments Three Months Ended March 31, 2024 2023 (in millions) Balance, beginning of period $ 48 $ 36 Previously recognized impairments on securities that matured, paid, prepaid or sold (4) (3) Recognized impairments on securities impaired to fair value this period (1) (2) — 52 Credit losses recognized this period on securities for which credit losses were not previously recognized 3 3 Additional credit losses this period on securities previously impaired 1 1 Balance, end of period $ 48 $ 89 ______________ (1) Represents circumstances where the Company determined in the current period that it intends to sell the security, or it is more likely than not that it will be required to sell the security before recovery of the security’s amortized cost. (2) Amounts reflected for the three months ended March 31, 2023 represent AFS fixed maturities in an unrealized loss position, which the Company intended to sell in anticipation of Equitable Financial’s ordinary dividend to Holdings. The tables below present a roll-forward of net unrealized investment gains (losses) recognized in AOCI: Net Unrealized Gains (Losses) on AFS Fixed Maturities Three Months Ended March 31, 2024 Net Unrealized Gains (Losses) on Investments Policyholders’ Liabilities Deferred Income Tax Asset (Liability) (1) AOCI Gain (Loss) Related to Net Unrealized Investment Gains (Losses) (1) (in millions) Balance, beginning of period $ (6,999) $ 50 $ 226 $ (6,723) Net investment gains (losses) arising during the period (683) — — (683) Reclassification adjustment: Included in net income (loss) 26 — — 26 Other — — (3) (3) Impact of net unrealized investment gains (losses) — 13 134 147 Net unrealized investment gains (losses) excluding credit losses (7,656) 63 357 (7,236) Net unrealized investment gains (losses) with credit losses (4) — 1 (3) Balance, end of period $ (7,660) $ 63 $ 358 $ (7,239) Three Months Ended March 31, 2023 Balance, beginning of period $ (9,606) $ 41 $ 440 $ (9,125) Net investment gains (losses) arising during the period 1,555 — — 1,555 Reclassification adjustment: Included in net income (loss) 80 — — 80 Other — — 342 342 Impact of net unrealized investment gains (losses) — (8) (342) (350) Net unrealized investment gains (losses) excluding credit losses (7,971) 33 440 (7,498) Net unrealized investment gains (losses) with credit losses (7) — 1 (6) Balance, end of period $ (7,978) $ 33 $ 441 $ (7,504) _____________ (1) Certain balances were revised from previously filed financial statements. The following tables disclose the fair values and gross unrealized losses of the 4,380 issues as of March 31, 2024 and the 4,402 issues as of December 31, 2023 that are not deemed to have credit losses, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position for the specified periods at the dates indicated: AFS Fixed Maturities in an Unrealized Loss Position for Which No Allowance Is Recorded Less Than 12 Months 12 Months or Longer Total Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses (in millions) March 31, 2024 Fixed Maturities: Corporate $ 4,228 $ 158 $ 31,870 $ 5,702 $ 36,098 $ 5,860 U.S. Treasury, government and agency 101 2 4,320 1,262 4,421 1,264 States and political subdivisions 10 — 304 79 314 79 Foreign governments 56 2 487 120 543 122 Residential mortgage-backed 612 7 1,008 141 1,620 148 Asset-backed 2,087 5 1,737 80 3,824 85 Commercial mortgage-backed 48 8 2,889 426 2,937 434 Total at March 31, 2024 $ 7,142 $ 182 $ 42,615 $ 7,810 $ 49,757 $ 7,992 December 31, 2023: Fixed Maturities: Corporate $ 2,228 $ 126 $ 33,135 $ 5,231 $ 35,363 $ 5,357 U.S. Treasury, government and agency 111 2 4,447 1,104 4,558 1,106 States and political subdivisions 10 — 300 74 310 74 Foreign governments 15 2 517 109 532 111 Residential mortgage-backed 210 2 1,044 131 1,254 133 Asset-backed 528 1 5,522 108 6,050 109 Commercial mortgage-backed 92 11 2,856 504 2,948 515 Total at December 31, 2023 $ 3,194 $ 144 $ 47,821 $ 7,261 $ 51,015 $ 7,405 The Company maintains a diversified portfolio of corporate securities across industries and issuers and does not have exposure to any single issuer in excess of 0.7% of total corporate securities. The largest exposures to a single issuer of corporate securities held as of March 31, 2024 and December 31, 2023 were $317 million and $360 million, respectively, representing 8.4% and 8.2% of the consolidated equity of the Company. Corporate high yield securities, consisting primarily of public high yield bonds, are classified as other than investment grade by the various rating agencies, i.e., a rating below Baa3/BBB- or the NAIC designation of 3 (medium investment grade), 4 or 5 (below investment grade) or 6 (in or near default). As of March 31, 2024 and December 31, 2023, respectively, approximately $3.0 billion and $2.6 billion, or 4.0% and 3.5%, of the $75.3 billion and $74.0 billion aggregate amortized cost of fixed maturities held by the Company were considered to be other than investment grade. These securities had gross unrealized losses of $127 million and $101 million as of March 31, 2024 and December 31, 2023, respectively. As of March 31, 2024 and December 31, 2023, respectively, the $7.8 billion and $7.3 billion of gross unrealized losses of twelve months or more were primarily concentrated in corporate securities. In accordance with the policy described in Note 2 of the Notes to these Consolidated Financial Statements, the Company concluded that an adjustment to the allowance for credit losses for these securities was not warranted at either March 31, 2024 or December 31, 2023. As of March 31, 2024 and December 31, 2023, the Company did not intend to sell the securities nor was it more likely than not be required to dispose of the securities before the anticipated recovery of their remaining amortized cost basis. Based on the Company’s evaluation both qualitatively and quantitatively of the drivers of the decline in fair value of fixed maturity securities as of March 31, 2024, the Company determined that the unrealized loss was primarily due to increases in interest rates and credit spreads. Securities Lending Beginning in 2023, the Company has entered into securities lending agreements with an agent bank whereby blocks of securities are loaned to third parties, primarily major brokerage firms. As of March 31, 2024 and December 31, 2023, the estimated fair value of loaned securities was $144 million and $113 million. The agreements require a minimum of 102% of the fair value of the loaned securities to be held as cash collateral, calculated daily. To further minimize the credit risks related to these programs, the financial condition of counterparties is monitored on a regular basis. As of March 31, 2024 and December 31, 2023, cash collateral received in the amount of $147 million and $116 million, was invested by the agent bank. A securities lending payable for the overnight and continuous loans is included in other liabilities in the amount of cash collateral received. Securities lending transactions are used to generate income. Income and expenses associated with these transactions are reported as net investment income and were not material for March 31, 2024 and December 31, 2023. In September 2023, the Company began investing in residential mortgage loans. Accrued interest receivable on commercial, agricultural and residential mortgage loans as of March 31, 2024 and December 31, 2023 was $85 million and $82 million, respectively. There was no accrued interest written off for commercial, agricultural and residential mortgage loans for the three months ended March 31, 2024 and 2023. As of March 31, 2024 and December 31, 2023, the Company had one commercial mortgage loan for which foreclosure was probable. That loan has an amortized cost of $108 million and an associated allowance of $54 million. Allowance for Credit Losses on Mortgage Loans The change in the allowance for credit losses for commercial, agricultural and residential mortgage loans were as follows: Three Months Ended March 31, 2024 2023 (in millions) Allowance for credit losses on mortgage loans: Commercial mortgages: Balance, beginning of period $ 272 $ 123 Current-period provision for expected credit losses 16 10 Write-offs charged against the allowance — — Recoveries of amounts previously written off — — Net change in allowance 16 10 Balance, end of period $ 288 $ 133 Agricultural mortgages: Balance, beginning of period $ 6 $ 6 Current-period provision for expected credit losses — — Write-offs charged against the allowance — — Recoveries of amounts previously written off — — Net change in allowance — — Balance, end of period $ 6 $ 6 Three Months Ended March 31, 2024 2023 (in millions) Residential mortgages: Balance, beginning of period $ 1 $ — Current-period provision for expected credit losses 2 — Write-offs charged against the allowance — — Recoveries of amounts previously written off — — Net change in allowance 2 — Balance, end of period $ 3 $ — Total allowance for credit losses $ 297 $ 139 The change in the allowance for credit losses is attributable to: • increases/decreases in the loan balance due to new originations, maturing mortgages, and loan amortization; and • changes in credit quality and economic assumptions. Credit Quality Information The Company’s commercial and agricultural mortgage loans segregated by risk rating exposure were as follows: Loan to Value (“LTV”) Ratios (1) (3) March 31, 2024 Amortized Cost Basis by Origination Year 2024 2023 2022 2021 2020 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Total (in millions) Commercial and agricultural mortgage loans: Commercial: 0% - 50% $ — $ 308 $ 155 $ 129 $ 35 $ 1,532 $ — $ — $ 2,159 50% - 70% 195 920 1,871 670 749 2,522 517 96 7,540 70% - 90% — 240 1,197 1,144 576 1,657 62 36 4,912 90% plus — — — 158 — 949 — — 1,107 Total commercial $ 195 $ 1,468 $ 3,223 $ 2,101 $ 1,360 $ 6,660 $ 579 $ 132 $ 15,718 Agricultural: 0% - 50% $ 14 $ 102 $ 160 $ 190 $ 242 $ 910 $ — $ — $ 1,618 50% - 70% 40 60 144 150 180 334 — — 908 70% - 90% — — — — — 16 — — 16 90% plus — — — — — — — — — Total agricultural $ 54 $ 162 $ 304 $ 340 $ 422 $ 1,260 $ — $ — $ 2,542 March 31, 2024 Amortized Cost Basis by Origination Year 2024 2023 2022 2021 2020 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Total (in millions) Total commercial and agricultural mortgage loans: 0% - 50% $ 14 $ 410 $ 315 $ 319 $ 277 $ 2,442 $ — $ — $ 3,777 50% - 70% 235 980 2,015 820 929 2,856 517 96 8,448 70% - 90% — 240 1,197 1,144 576 1,673 62 36 4,928 90% plus — — — 158 — 949 — — 1,107 Total commercial and agricultural mortgage loans $ 249 $ 1,630 $ 3,527 $ 2,441 $ 1,782 $ 7,920 $ 579 $ 132 $ 18,260 Debt Service Coverage (“DSC”) Ratios (2 ) (3) March 31, 2024 Amortized Cost Basis by Origination Year 2024 2023 2022 2021 2020 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Total (in millions) Commercial and agricultural mortgage loans: Commercial: Greater than 2.0x $ — $ 175 $ 693 $ 1,190 $ 1,133 $ 3,573 $ — $ — $ 6,764 1.8x to 2.0x 40 75 — 208 167 637 318 96 1,541 1.5x to 1.8x — 164 911 143 — 1,016 100 — 2,334 1.2x to 1.5x 82 612 981 427 — 912 79 — 3,093 1.0x to 1.2x 73 434 281 67 — 464 82 36 1,437 Less than 1.0x — 8 357 66 60 58 — — 549 Total commercial $ 195 $ 1,468 $ 3,223 $ 2,101 $ 1,360 $ 6,660 $ 579 $ 132 $ 15,718 Agricultural: Greater than 2.0x $ 8 $ 7 $ 50 $ 34 $ 59 $ 196 $ — $ — $ 354 1.8x to 2.0x 5 18 16 56 29 83 — — 207 1.5x to 1.8x 2 12 49 31 110 209 — — 413 1.2x to 1.5x 35 46 110 148 159 433 — — 931 1.0x to 1.2x 3 47 55 67 57 307 — — 536 Less than 1.0x 1 32 24 4 8 32 — — 101 Total agricultural $ 54 $ 162 $ 304 $ 340 $ 422 $ 1,260 $ — $ — $ 2,542 March 31, 2024 Amortized Cost Basis by Origination Year 2024 2023 2022 2021 2020 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Total (in millions) Total commercial and agricultural mortgage loans: Greater than 2.0x $ 8 $ 182 $ 743 $ 1,224 $ 1,192 $ 3,769 $ — $ — $ 7,118 1.8x to 2.0x 45 93 16 264 196 720 318 96 1,748 1.5x to 1.8x 2 176 960 174 110 1,225 100 — 2,747 1.2x to 1.5x 117 658 1,091 575 159 1,345 79 — 4,024 1.0x to 1.2x 76 481 336 134 57 771 82 36 1,973 Less than 1.0x 1 40 381 70 68 90 — — 650 Total commercial and agricultural mortgage loans $ 249 $ 1,630 $ 3,527 $ 2,441 $ 1,782 $ 7,920 $ 579 $ 132 $ 18,260 ______________ (1) The LTV ratio is derived from current loan balance divided by the fair value of the property. The fair value of the underlying commercial properties is updated annually for each mortgage loan. (2) The DSC ratio is calculated using the most recently reported operating income results from property operations divided by annual debt service. (3) Residential mortgage loans are excluded from the above tables. LTV Ratios (1) (3) December 31, 2023 Amortized Cost Basis by Origination Year 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Total (in millions) Commercial and agricultural mortgage loans: Commercial: 0% - 50% $ 249 $ 164 $ 129 $ 35 $ — $ 1,557 $ — $ — $ 2,134 50% - 70% 924 1,916 671 750 299 2,319 463 96 7,438 70% - 90% 308 1,197 1,236 523 245 1,384 37 35 4,965 90% plus — — 66 54 92 858 — — 1,070 Total commercial $ 1,481 $ 3,277 $ 2,102 $ 1,362 $ 636 $ 6,118 $ 500 $ 131 $ 15,607 Agricultural: 0% - 50% $ 102 $ 162 $ 191 $ 235 $ 132 $ 802 $ — $ — $ 1,624 50% - 70% 60 146 152 201 58 288 — — 905 70% - 90% — — — — — 16 — — 16 90% plus — — — — — — — — — Total agricultural $ 162 $ 308 $ 343 $ 436 $ 190 $ 1,106 $ — $ — $ 2,545 December 31, 2023 Amortized Cost Basis by Origination Year 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Total (in millions) Total commercial and agricultural mortgage loans: 0% - 50% $ 351 $ 326 $ 320 $ 270 $ 132 $ 2,359 $ — $ — $ 3,758 50% - 70% 984 2,062 823 951 357 2,607 463 96 8,343 70% - 90% 308 1,197 1,236 523 245 1,400 37 35 4,981 90% plus — — 66 54 92 858 — — 1,070 Total commercial and agricultural mortgage loans $ 1,643 $ 3,585 $ 2,445 $ 1,798 $ 826 $ 7,224 $ 500 $ 131 $ 18,152 DSC Ratios (2) (3) December 31, 2023 Amortized Cost Basis by Origination Year 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Total (in millions) Commercial and agricultural mortgage loans: Commercial: Greater than 2.0x $ 175 $ 693 $ 1,125 $ 1,135 $ 249 $ 3,273 $ — $ — $ 6,650 1.8x to 2.0x — — 182 167 171 662 383 96 1,661 1.5x to 1.8x 80 1,060 234 — 162 924 — — 2,460 1.2x to 1.5x 690 687 457 — 11 838 41 — 2,724 1.0x to 1.2x 528 668 38 — 43 317 76 35 1,705 Less than 1.0x 8 169 66 60 — 104 — — 407 Total commercial $ 1,481 $ 3,277 $ 2,102 $ 1,362 $ 636 $ 6,118 $ 500 $ 131 $ 15,607 Agricultural: Greater than 2.0x $ 7 $ 50 $ 36 $ 59 $ 20 $ 179 $ — $ — $ 351 1.8x to 2.0x 18 16 56 33 23 61 — — 207 1.5x to 1.8x 12 50 31 109 17 193 — — 412 1.2x to 1.5x 46 111 148 170 98 365 — — 938 1.0x to 1.2x 47 57 68 57 26 284 — — 539 Less than 1.0x 32 24 4 8 6 24 — — 98 Total agricultural $ 162 $ 308 $ 343 $ 436 $ 190 $ 1,106 $ — $ — $ 2,545 December 31, 2023 Amortized Cost Basis by Origination Year 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Total (in millions) Total commercial and agricultural mortgage loans: Greater than 2.0x $ 182 $ 743 $ 1,161 $ 1,194 $ 269 $ 3,452 $ — $ — $ 7,001 1.8x to 2.0x 18 16 238 200 194 723 383 96 1,868 1.5x to 1.8x 92 1,110 265 109 179 1,117 — — 2,872 1.2x to 1.5x 736 798 605 170 109 1,203 41 — 3,662 1.0x to 1.2x 575 725 106 57 69 601 76 35 2,244 Less than 1.0x 40 193 70 68 6 128 — — 505 Total commercial and agricultural mortgage loans $ 1,643 $ 3,585 $ 2,445 $ 1,798 $ 826 $ 7,224 $ 500 $ 131 $ 18,152 ______________ (1) The LTV ratio is derived from current loan balance divided by the fair value of the property. The fair value of the underlying commercial properties is updated annually for each mortgage loan. (2) The DSC ratio is calculated using the most recently reported operating income results from property operations divided by annual debt service. (3) Residential mortgage loans are excluded from the above tables. The amortized cost of residential mortgage loans by credit quality indicator and origination year was as follows: March 31, 2024 Amortized Cost Basis by Origination Year 2024 2023 2022 2021 2020 Prior Total (in millions) Performance indicators: Performing $ — $ 373 $ 139 $ 90 $ 3 $ 2 $ 607 Nonperforming — — — — — — — Total $ — $ 373 $ 139 $ 90 $ 3 $ 2 $ 607 December 31, 2023 Amortized Cost Basis by Origination Year 2023 2022 2021 2020 2019 Prior Total (in millions) Performance indicators: Performing $ 98 $ 121 $ 74 $ 2 $ 1 $ 2 $ 298 Nonperforming — — — — — — — Total $ 98 $ 121 $ 74 $ 2 $ 1 $ 2 $ 298 Past-Due and Nonaccrual Mortgage Loan Status The aging analysis of past-due mortgage loans were as follows: Age Analysis of Past Due Mortgage Loans (1) Accruing Loans Non-accruing Loans Total Loans Non-accruing Loans with No Allowance Interest Income on Non-accruing Loans Past Due Current Total 30-59 Days 60-89 Days 90 Days or More Total (in millions) March 31, 2024: Mortgage loans: Commercial $ — $ — $ — $ — $ 15,484 $ 15,484 $ 234 $ 15,718 $ — $ — Agricultural 1 5 54 60 2,463 2,523 19 2,542 — — Residential — — — — 607 607 — 607 — — Total $ 1 $ 5 $ 54 $ 60 $ 18,554 $ 18,614 $ 253 $ 18,867 $ — $ — December 31, 2023: Mortgage loans: Commercial $ 32 $ — $ — $ 32 $ 15,341 $ 15,373 $ 234 $ 15,607 $ — $ 7 Agricultural 7 5 40 52 2,474 2,526 19 2,545 — — Residential — — — — 298 298 — 298 — — Total $ 39 $ 5 $ 40 $ 84 $ 18,113 $ 18,197 $ 253 $ 18,450 $ — $ 7 _______________ (1) Amounts presented at amortized cost basis. As of March 31, 2024 and December 31, 2023, the amortized cost of problem mortgage loans that had been classified as non-accrual loans were $127 million and $127 million, respectively. Troubled Debt Restructuring During the year ended December 31, 2023, the Company granted modification of interest rates on four commercial mortgage loans, but not to market terms and required management of excess cash. The loans have an amortized cost of $235 million and $234 million for the period ended March 31, 2024 and December 31, 2023, respectively, which represents 1.5% of total commercial mortgage loans. Two of the four loans also have term extensions of 17 months to 4 years. The impact to Investment income or gains (losses) as a result of these modifications in 2023 was not material to the consolidated financial statements. For the accounting policy pertaining to our TDRs see Note 2 of the Notes to these Consolidated Financial Statements. There were no TDRs for the three months ended March 31, 2024. Equity Securities The breakdown of unrealized and realized gains and (losses) on equity securities was as follows: Unrealized and Realized Gains (Losses) from Equity Securities Three Months Ended March 31, 2024 2023 (in millions) Net investment gains (losses) recognized during the period on securities held at the end of the period $ 15 $ (3) Net investment gains (losses) recognized on securities sold during the period (1) — Unrealized and realized gains (losses) on equity securities $ 14 $ (3) Trading Securities As of March 31, 2024 and December 31, 2023, respectively, the fair value of the Company’s trading securities was $1.3 billion and $1.1 billion. As of March 31, 2024 and December 31, 2023, respectively, trading securities included the General Account’s investment in Separate Accounts had carrying values of $53 million and $49 million. The breakdown of net investment income (loss) from trading securities was as follows: Net Investment Income (Loss) from Trading Securities Three Months Ended March 31, 2024 2023 (in millions) Net investment gains (losses) recognized during the period on securities held at the end of the period $ 36 $ 35 Net investment gains (losses) recognized on securities sold during the period 1 (1) Unrealized and realized gains (losses) on trading securities 37 34 Interest and dividend income from trading securities 11 5 Net investment income (loss) from trading securities $ 48 $ 39 Fixed maturities, at fair value using the fair value option The breakdown of net investment income (loss) from fixed maturities, at fair value using the fair value option were as follows: Net Investment Income (Loss) from Fixed Maturities, at Fair Value using the Fair Value Option Three Months Ended March 31, 2024 2023 (in millions) Net investment gains (losses) recognized during the period on securities held at the end of the period $ (3) $ 4 Net investment gains (losses) recognized on securities sold during the period 1 (2) Unrealized and realized gains (losses) from fixed maturities (2) 2 Interest and dividend income from fixed maturities 5 7 Net investment income (loss) from fixed maturities $ 3 $ 9 Net Investment Income The following tables provides the components of net investment income by investment type: Three Months Ended March 31, 2024 2023 (in millions) Fixed maturities $ 821 $ 715 Mortgage loans on real estate 234 177 Other equity investments 60 6 Policy loans 54 52 Trading securities 48 39 Other investment income 25 18 Fixed maturities, at fair value using the fair value option 3 9 Gross investment income (loss) 1,245 1,016 Investment expenses (26) (26) Net investment income (loss) $ 1,219 $ 990 Investment Gains (Losses), Net Investment gains (losses), net, including changes in the valuation allowances and credit losses were as follows: Three Months Ended March 31, 2024 2023 (in millions) Fixed maturities $ (26) $ (80) Mortgage loans on real estate (18) (10) Other 5 3 Investment gains (losses), net $ (39) $ (87) For the three months ended March 31, 2024 and 2023, respectively, investment results passed through to certain participating group annuity contracts as interest credited to policyholders’ account balances totaled $0 million and $0 million . |
DERIVATIVES
DERIVATIVES | 3 Months Ended |
Mar. 31, 2024 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVES | DERIVATIVES The Company uses derivatives as part of its overall asset/liability risk management primarily to reduce exposures to equity market and interest rate risks. Derivative hedging strategies are designed to reduce these risks from an economic perspective and are all executed within the framework of a “Derivative Use Plan” approved by applicable states’ insurance law. Derivatives are generally not accounted for using hedge accounting, with the exception of TIPS and cash flow hedges, which are discussed further below. Operation of these hedging programs is based on models involving numerous estimates and assumptions, including, among others, mortality, lapse, surrender and withdrawal rates, election rates, fund performance, market volatility and interest rates. A wide range of derivative contracts are used in these hedging programs, including exchange traded equity, currency and interest rate futures contracts, total return and/or other equity swaps, interest rate swap and floor contracts, bond and bond-index total return swaps, swaptions, variance swaps and equity options, credit and foreign exchange derivatives, as well as bond and repo transactions to support the hedging. The derivative contracts are collectively managed in an effort to reduce the economic impact of unfavorable changes in guaranteed benefits’ exposures attributable to movements in capital markets. In addition, as part of its hedging strategy, the Company targets an asset level for all variable annuity products at or above a CTE98 level under most economic scenarios (CTE is a statistical measure of tail risk which quantifies the total asset requirement to sustain a loss if an event outside a given probability level has occurred. CTE98 denotes the financial resources a company would need to cover the average of the worst 2% of scenarios.) Derivatives Utilized to Hedge Exposure to Variable Annuities with Guarantee Features The Company has issued and continues to offer variable annuity products with GMxB features which are accounted for as MRBs. The risk associated with the GMDB feature is that under-performance of the financial markets could result in GMDB benefits, in the event of death, being higher than what accumulated policyholders’ account balances would support. The risk associated with the GMIB feature is that under-performance of the financial markets could result in the present value of GMIB, in the event of annuitization, being higher than what accumulated policyholders’ account balances would support, taking into account the relationship between current annuity purchase rates and the GMIB guaranteed annuity purchase rates. The risk associated with products that have a GMxB feature and are accounted for as MRBs is that under-performance of the financial markets could result in the GMxB features benefits being higher than what accumulated policyholders’ account balances would support. For GMxB features, the Company retains certain risks including basis, credit spread, and some volatility risk and risk associated with actual experience versus expected actuarial assumptions for mortality, lapse and surrender, withdrawal and policyholder election rates, among other things. The derivative contracts are managed to correlate with changes in the value of the GMxB features that result from financial markets movements. A portion of exposure to realized equity volatility is hedged using equity options and variance swaps and a portion of exposure to credit risk is hedged using total return swaps on fixed income indices. Additionally, the Company is party to total return swaps for which the reference U.S. Treasury securities are contemporaneously purchased from the market and sold to the swap counterparty. As these transactions result in a transfer of control of the U.S. Treasury securities to the swap counterparty, the Company derecognizes these securities with consequent gain or loss from the sale. The Company has also purchased reinsurance contracts to mitigate the risks associated with GMDB features and the impact of potential market fluctuations on future policyholder elections of GMIB features contained in certain annuity contracts issued by the Company. The reinsurance of these features is accounted for as purchased MRBs. In addition, on June 1, 2021, we ceded legacy variable annuity policies sold by Equitable Financial between 2006-2008 (the “Block”), comprised of non-New York “Accumulator” policies containing fixed rate GMIB and/or GMDB guarantees to CS Life. As this contract provides full risk transfer and thus has the same risk attributes as the underlying direct contracts, the benefits of this treaty are accounted for in the same manner as the underlying gross reserves and therefore the amounts due from reinsurers related to the GMIB with NLG are accounted for as purchased MRBs. The Company has in place an economic hedge program using U.S. Treasury futures to partially protect the overall profitability of future variable annuity sales against declining interest rates. Derivatives Utilized to Hedge Crediting Rate Exposure on SCS, SIO, MSO and IUL Products/Investment Options The Company hedges crediting rates in the SCS variable annuity, SIO in the EQUI-VEST variable annuity series, MSO in the variable life insurance products and IUL insurance products. These products permit the contract owner to participate in the performance of an index, ETF or commodity price movement up to a cap for a set period of time. They also contain a protection feature, in which the Company will absorb, up to a certain percentage, the loss of value in an index, ETF or commodity price, which varies by product segment. In order to support the returns associated with these features, the Company enters into derivative contracts whose payouts, in combination with fixed income investments, emulate those of the index, ETF or commodity price, subject to caps and buffers, thereby substantially reducing any exposure to market-related earnings volatility. Derivatives Used to Hedge Equity Market Risks Associated with the General Account’s Seed Money Investments in Retail Mutual Funds The Company’s General Account seed money investments in retail mutual funds expose us to market risk, including equity market risk which is partially hedged through equity-index futures contracts to minimize such risk. Derivatives Used for General Account Investment Portfolio The Company purchased CDS to mitigate its exposure to a reference entity through cash positions. These positions do not replicate credit spreads. The Company purchased 30-year TIPS and other sovereign bonds, both inflation linked and non-inflation linked, as General Account investments and enters into asset or cross-currency basis swaps, to result in payment of the given bond’s coupons and principal at maturity in the bond’s specified currency to the swap counterparty in return for fixed dollar amounts. These swaps, when considered in combination with the bonds, together result in a net position that is intended to replicate a dollar-denominated fixed-coupon cash bond with a yield higher than a term-equivalent U.S. Treasury bond. Derivatives Utilized to Hedge Exposure to Foreign Currency Denominated Cash Flows The Company purchases private placement debt securities and issues funding agreements in the FABN program in currencies other than its functional U.S. dollar currency. The Company enters into cross currency swaps with external counterparties to hedge the exposure of the foreign currency denominated cash flows of these instruments. The foreign currency received from or paid to the cross currency swap counterparty is exchanged for fixed U.S. dollar amounts with improved net investment yields or net product costs over equivalent U.S. dollar denominated instruments issued at that time. The transactions are accounted for as cash flow hedges when they are designated in hedging relationships and qualify for hedge accounting. These cross currency swaps are for the period the foreign currency denominated private placement debt securities and funding agreement are outstanding, with the longest cross currency swap expiring in 2033. Since these cross currency swaps are designated and qualify as cash flow hedges, the corresponding interest accruals are recognized in net investment income and in interest credited to policyholders’ account balances. The tables below present quantitative disclosures about the Company’s derivative instruments designated in hedging relationships and derivative instruments which have not been designated in hedging relationships, including those embedded in other contracts required to be accounted for as derivative instruments. The following table presents the gross notional amount and fair value of the Company’s derivatives: Derivative Instruments by Category March 31, 2024 December 31, 2023 Fair Value Fair Value Notional Amount Derivative Assets Derivative Liabilities Net Derivatives Notional Amount Derivative Assets Derivative Liabilities Net Derivatives (in millions) Derivatives: designated for hedge accounting (1) Cash flow hedges: Currency swaps $ 2,373 $ 82 $ 96 $ (14) $ 2,358 $ 79 $ 90 $ (11) Interest swaps 952 — 323 (323) 952 — 311 (311) Total: designated for hedge accounting 3,325 82 419 (337) 3,310 79 401 (322) Derivatives: not designated for hedge accounting (1) Equity contracts: Futures 9,269 — 1 (1) 7,877 — 4 (4) Swaps 16,365 60 11 49 15,021 53 10 43 Options 60,035 16,560 3,797 12,763 53,927 13,213 3,129 10,084 Interest rate contracts: Futures 8,638 — — — 8,094 — — — Swaps 2,887 26 19 7 2,887 118 2 116 Credit contracts: Credit default swaps 185 8 5 3 242 9 6 3 Currency contracts: Currency swaps 840 4 1 3 823 — 27 (27) Currency forwards 17 13 13 — 36 20 21 (1) Other freestanding contracts: Margin — 511 — 511 — 468 — 468 Collateral — 215 12,157 (11,942) — 75 9,232 (9,157) Total: not designated for hedge accounting 98,236 17,397 16,004 1,393 88,907 13,956 12,431 1,525 Embedded derivatives: SCS, SIO, MSO and IUL indexed features (2) — — 13,758 (13,758) — — 10,745 (10,745) Total embedded derivatives — — 13,758 (13,758) — — 10,745 (10,745) Total derivative instruments $ 101,561 $ 17,479 $ 30,181 $ (12,702) $ 92,217 $ 14,035 $ 23,577 $ (9,542) ______________ (1) Reported in other invested assets in the consolidated balance sheets. (2) Reported in policyholders’ account balances in the consolidated balance sheets. The following table presents the effects of derivative instruments on the consolidated statements of income and comprehensive income (loss): Derivative Instruments by Category Three Months Ended March 31, 2024 Three Months Ended March 31, 2023 Net Derivatives Gain (Losses) (1) Net Investment Income Interest Credited To Policyholders Account Balances AOCI Net Derivatives Gain (Losses) (1) Net Investment Income Interest Credited To Policyholders Account Balances AOCI (in millions) Derivatives: designated for hedge accounting Cash flow hedges: Currency swaps $ — $ 3 $ (18) $ 16 $ 7 $ 3 $ (34) $ 25 Interest swaps — 3 — (7) (4) — — (28) Total: designated for hedge accounting — 6 (18) 9 3 3 (34) (3) Derivatives: not Designated for hedge accounting Equity contracts: Futures 241 — — — (143) — — — Swaps (1,115) — — — (605) — — — Options 2,795 — — — 1,501 — — — Interest rate contracts: Futures (9) — — — (22) — — — Swaps (164) — — — 48 — — — Credit contracts: Credit default swaps (1) — — — (2) — — — Currency contracts: Currency swaps 12 — — — (10) — — — Currency forwards 1 — — — — — — — Other freestanding contracts: Margin — — — — — — — — Collateral — — — — — — — — Total: not designated for hedge accounting 1,760 — — — 767 — — — Embedded derivatives: SCS, SIO,MSO and IUL indexed features (3,136) — — — (1,611) — — — Total embedded derivatives (3,136) — — — (1,611) — — — Total derivative instruments $ (1,376) $ 6 $ (18) $ 9 $ (841) $ 3 $ (34) $ (3) ______________ (1) Reported in net derivative gains (losses) in the consolidated statements of income (loss). The following table presents a roll-forward of cash flow hedges recognized in AOCI: Roll-forward of Cash flow hedges in AOCI Three Months Ended March 31, 2024 2023 (in millions) Balance, beginning of period $ (29) $ 22 Amount recorded in AOCI Currency swaps — (7) Interest swaps (8) (37) Total amount recorded in AOCI (8) (44) Amount reclassified from (to) income to AOCI Currency swaps (1) 16 32 Interest swaps (1) 1 9 Total amount reclassified from (to) income to AOCI 17 41 Balance, end of period (2) $ (20) $ 19 _______________ (1) Currency swaps income is reported in net investment income in the consolidated statements of income (loss). Interest swaps income is reported in net derivative gains (losses) in the consolidated statements of income (loss). (2) The Company does not estimate the amount of the deferred losses in AOCI at March 31, 2024, 2023 and 2022 which will be released and reclassified into net income (loss) over the next 12 months as the amounts cannot be reasonably estimated. Equity-Based and Treasury Futures Contracts Margin All outstanding equity-based and treasury futures contracts as of March 31, 2024 and December 31, 2023 are exchange-traded and net settled daily in cash. As of March 31, 2024 and December 31, 2023, respectively, the Company had open exchange-traded futures positions on: (i) the S&P 500, Nasdaq, Russell 2000 and Emerging Market indices, having initial margin requirements of $399 million and $369 million, (ii) the 2-year, 5-year and 10-year U.S. Treasury Notes on U.S. Treasury bonds and ultra-long bonds, having initial margin requirements of $132 million and $120 million, and (iii) the Euro Stoxx, FTSE 100, Topix, ASX 200 and EAFE indices as well as corresponding currency futures on the Euro/U.S. dollar, Pound/U.S. dollar, Australian dollar/U.S. dollar, and Yen/U.S. dollar, having initial margin requirements of $13 million and $14 million. Collateral Arrangements The Company generally has executed a CSA under the ISDA Master Agreement it maintains with each of its OTC derivative counterparties that requires both posting and accepting collateral either in the form of cash or high-quality securities, such as U.S. Treasury securities, U.S. government and government agency securities and investment grade corporate bonds. The Company nets the fair value of all derivative financial instruments with counterparties for which an ISDA Master Agreement and related CSA have been executed. As of March 31, 2024 and December 31, 2023, respectively, the Company held $12.2 billion and $9.2 billion in cash and securities collateral delivered by trade counterparties, representing the fair value of the related derivative agreements. The unrestricted cash collateral is reported in other invested assets. The Company posted collateral of $215 million and $75 million as of March 31, 2024 and December 31, 2023, respectively, in the normal operation of its collateral arrangements. The Company is exposed to losses in the event of non-performance by counterparties to financial derivative transactions with a positive fair value. The Company manages credit risk by: (i) entering into derivative transactions with highly rated major international financial institutions and other creditworthy counterparties governed by master netting agreements, as applicable; (ii) trading through central clearing and OTC parties; (iii) obtaining collateral, such as cash and securities, when appropriate; and (iv) setting limits on single party credit exposures which are subject to periodic management review. Substantially all of the Company’s derivative agreements have zero thresholds which require daily full collateralization by the party in a liability position. In addition, certain of the Company’s derivative agreements contain credit-risk related contingent features; if the credit rating of one of the parties to the derivative agreement is to fall below a certain level, the party with positive fair value could request termination at the then fair value or demand immediate full collateralization from the party whose credit rating fell and is in a net liability position. As of March 31, 2024 and December 31, 2023, there were no net liability derivative positions with counterparties with credit risk-related contingent features whose credit rating has fallen. All derivatives have been appropriately collateralized by the Company or the counterparty in accordance with the terms of the derivative agreements. The following tables present information about the Company’s offsetting of financial assets and liabilities and derivative instruments: Offsetting of Financial Assets and Liabilities and Derivative Instruments As of March 31, 2024 Gross Amount Recognized Gross Amount Offset in the Balance Sheets Net Amount Presented in the Balance Sheets Gross Amount not Offset in the Balance Sheets (3) Net Amount (in millions) Assets: Derivative assets (1) $ 17,481 $ 13,904 $ 3,577 $ (2,516) $ 1,061 Secured lending 147 — 147 — 147 Other financial assets 2,000 — 2,000 — 2,000 Other invested assets $ 19,628 $ 13,904 $ 5,724 $ (2,516) $ 3,208 Liabilities: Derivative liabilities (2) $ 13,906 $ 13,904 $ 2 $ — $ 2 Secured lending 147 — $ 147 — 147 Other financial liabilities 6,362 — 6,362 — 6,362 Other liabilities $ 20,415 $ 13,904 $ 6,511 $ — $ 6,511 ______________ (1) Excludes Investment Management and Research segment’s derivative assets of consolidated VIEs/VOEs. (2) Excludes Investment Management and Research segment’s derivative liabilities of consolidated VIEs/VOEs. (3) Financial instruments/collateral sent (held). As of December 31, 2023 Gross Amount Recognized Gross Amount Offset in the Balance Sheets Net Amount Presented in the Balance Sheets Gross Amount not Offset in the Balance Sheets (3) Net Amount (in millions) Assets: Derivative assets (1) $ 14,036 $ 9,543 $ 4,493 $ (3,254) $ 1,239 Secured Lending $ 116 $ — $ 116 $ — $ 116 Other financial assets 2,110 — 2,110 — 2,110 Other invested assets $ 16,262 $ 9,543 $ 6,719 $ (3,254) $ 3,465 Liabilities: Derivative liabilities (2) $ 9,579 $ 9,543 $ 36 $ — $ 36 Secured Lending $ 116 $ — $ 116 $ — $ 116 Other financial liabilities 5,936 — 5,936 — 5,936 Other liabilities $ 15,631 $ 9,543 $ 6,088 $ — $ 6,088 ______________ (1) Excludes Investment Management and Research segment’s derivative assets of consolidated VIEs/VOEs. (2) Excludes Investment Management and Research segment’s derivative liabilities of consolidated VIEs/VOEs. (3) Financial instruments sent (held). |
CLOSED BLOCK
CLOSED BLOCK | 3 Months Ended |
Mar. 31, 2024 | |
Closed Block Disclosure [Abstract] | |
CLOSED BLOCK | CLOSED BLOCK As a result of demutualization, the Company’s Closed Block was established in 1992 for the benefit of certain individual participating policies that were in force on that date. Assets, liabilities and earnings of the Closed Block are specifically identified to support its participating policyholders. Assets allocated to the Closed Block insure solely to the benefit of the Closed Block policyholders and will not revert to the benefit of the Company. No reallocation, transfer, borrowing or lending of assets can be made between the Closed Block and other portions of the Company’s General Account, any of its Separate Accounts or any affiliate of the Company without the approval of the New York State Department of Financial Services (the “NYDFS”). Closed Block assets and liabilities are carried on the same basis as similar assets and liabilities held in the General Account. For more information on the Closed Block, see Note 6 to the Company's consolidated financial statements included in the Annual Report on Form 10-K for the year ended December 31, 2023. Summarized financial information for the Company’s Closed Block is as follows: March 31, 2024 December 31, 2023 (in millions) Closed Block Liabilities: Future policy benefits, policyholders’ account balances and other $ 5,390 $ 5,461 Other liabilities 69 57 Total Closed Block liabilities 5,459 5,518 Assets Designated to the Closed Block: Fixed maturities AFS, at fair value (amortized cost of $2,949 and $2,945) (allowance for credit losses of $0 and $0) 2,784 2,800 Mortgage loans on real estate (net of allowance for credit losses of $13 and $13) 1,550 1,612 Policy loans 541 554 Cash and other invested assets 63 58 Other assets 163 150 Total assets designated to the Closed Block 5,101 5,174 Excess of Closed Block liabilities over assets designated to the Closed Block 358 344 Amounts included in AOCI: Net unrealized investment gains (losses), net of policyholders’ dividend obligation: $0 and $0; and net of income tax: $35 and $31 (130) (115) Maximum future earnings to be recognized from Closed Block assets and liabilities $ 228 $ 229 The Company’s Closed Block revenues and expenses were as follows: Three Months Ended March 31, 2024 2023 (in millions) Revenues: Premiums and other income $ 29 $ 30 Net investment income (loss) 52 51 Investment gains (losses), net (1) — Total revenues 80 81 Benefits and Other Deductions: Policyholders’ benefits and dividends 77 83 Total benefits and other deductions 77 83 Net income (loss), before income taxes 3 (2) Income tax (expense) benefit (1) (1) Net income (loss) $ 2 $ (3) |
DAC AND OTHER DEFERRED ASSETS_L
DAC AND OTHER DEFERRED ASSETS/LIABILITIES | 3 Months Ended |
Mar. 31, 2024 | |
Contract Holder Bonus Interest Credits [Abstract] | |
DAC AND OTHER DEFERRED ASSETS/LIABILITIES | DAC AND OTHER DEFERRED ASSETS/LIABILITIES The following table presents a reconciliation of DAC to the consolidated balance sheets: March 31, December 31, 2024 2023 (in millions) Protection Solutions Term $ 331 $ 337 Universal Life 174 174 Variable Universal Life 1,009 987 Indexed Universal Life 187 188 Individual Retirement GMxB Core 1,604 1,602 EQUI-VEST Individual 154 155 Investment Edge 180 172 SCS 1,655 1,571 Legacy Segment GMxB Legacy 546 555 Group Retirement EQUI-VEST Group 747 742 Momentum 80 82 Corporate and Other 114 116 Other 23 24 Total $ 6,804 $ 6,705 Annually, or as circumstances warrant, we review the associated decrements assumptions (i.e., mortality and lapse) based on our multi-year average of companies experience with actuarial judgements to reflect other observable industry trends. In addition to DAC, the unearned revenue liability and sales inducement asset (“SIA”) use similar techniques and quarterly update processes for balance amortization. Changes in the DAC asset were as follows: Three Months Ended March 31, 2024 Protection Solutions Individual Retirement Legacy Group Retirement Corporate and Other Total Term UL VUL IUL GMxB Core EI IE SCS GMxB Legacy EG Momentum CB (1) (in millions) Balance, beginning of period $ 337 $ 174 $ 987 $ 188 $ 1,602 $ 155 $ 172 $ 1,571 $ 555 $ 742 $ 82 $ 116 $ 6,681 Capitalization 4 3 37 2 39 2 12 148 7 15 2 — 271 Amortization (2) (10) (3) (15) (3) (37) (3) (4) (64) (16) (10) (4) (2) (171) Balance, end of period $ 331 $ 174 $ 1,009 $ 187 $ 1,604 $ 154 $ 180 $ 1,655 $ 546 $ 747 $ 80 $ 114 $ 6,781 ______________ (1) “CB” defined as Closed Block. (2) DAC amortization of $1 million related to Other not reflected in table above. Three Months Ended March 31, 2023 Protection Solutions Individual Retirement Legacy Group Retirement Corporate and Other Total Term UL VUL IUL GMxB Core EI IE SCS GMxB Legacy EG Momentum CB (in millions) Balance, beginning of period $ 362 $ 179 $ 889 $ 185 $ 1,625 $ 156 $ 148 $ 1,279 $ 593 $ 710 $ 89 $ 127 $ 6,342 Capitalization 4 1 35 3 19 3 11 101 6 16 3 — 202 Amortization (1) (10) (3) (14) (3) (35) (3) (3) (47) (16) (10) (5) (3) (152) Balance, end of period $ 356 $ 177 $ 910 $ 185 $ 1,609 $ 156 $ 156 $ 1,333 $ 583 $ 716 $ 87 $ 124 $ 6,392 Changes in the Individual Retirement sales inducement assets were as follows: Three Months Ended March 31, 2024 2023 GMxB Core GMxB Legacy GMxB Core GMxB Legacy (in millions) Balance, beginning of period $ 127 $ 179 $ 137 $ 200 Capitalization 1 — — — Amortization (3) (5) (3) (5) Balance, end of period $ 125 $ 174 $ 134 $ 195 Changes in the Protection Solutions unearned revenue liability were as follows: Three Months Ended March 31, 2024 2023 UL VUL IUL UL VUL IUL (in millions) Balance, beginning of period $ 107 $ 754 $ 210 $ 95 $ 684 $ 157 Capitalization 4 32 14 5 27 17 Amortization (2) (12) (3) (2) (10) (3) Balance, end of period $ 109 $ 774 $ 221 $ 98 $ 701 $ 171 The following table reconciles the net liability for future policy benefits and liability of death benefits to the liability for future policy benefits in the consolidated balance sheets: March 31, 2024 December 31, 2023 (in millions) Reconciliation Term $ 1,316 $ 1,348 Individual Retirement - Payout 820 844 Legacy - Payout 3,767 3,620 Group Pension - Benefit Reserve & DPL 473 490 Health 1,450 1,505 UL 1,194 1,193 Subtotal 9,020 9,000 Whole Life Closed Block and Open Block products 5,384 5,444 Other (1) 948 970 Future policyholder benefits total 15,352 15,414 Other policyholder funds and dividends payable 1,972 1,949 Total $ 17,324 $ 17,363 _____________ (1) Primarily consists of future policy benefits related to Protective Life and Annuity, Assumed Life and Disability, Group Life Run off, Variable Interest Sensitive Life rider and Employee Benefits. The following table summarizes balances and changes in the liability for future policy benefits for nonparticipating traditional and limited pay contracts: Three Months Ended March 31, 2024 Three Months Ended March 31, 2023 Protection Solutions Individual Retirement Legacy Corporate & Other Protection Solutions Individual Retirement Legacy Corporate & Other Term Payout Payout Group Pension Health Term Payout Payout Group Pension Health (in millions) Present Value of Expected Net Premiums Balance, beginning of period $ 2,133 $ — $ — $ — $ (21) $ 2,100 $ — $ — $ — $ (5) Beginning balance at original discount rate 2,058 — — — (22) 2,078 — — — (5) Effect of changes in cash flow assumptions (18) — — — — 8 — — — — Effect of actual variances from expected experience (18) — — — 1 3 — — — (6) Adjusted beginning of period balance 2,022 — — — (21) 2,089 — — — (11) Issuances 11 — — — — 15 — — — — Interest accrual 25 — — — — 25 — — — — Net premiums collected (49) — — — 1 (51) — — — 1 Ending Balance at original discount rate 2,009 — — — (20) 2,078 — — — (10) Effect of changes in discount rate assumptions 17 — — — 1 82 — — — — Balance, end of period $ 2,026 $ — $ — $ — $ (19) $ 2,160 $ — $ — $ — $ (10) Three Months Ended March 31, 2024 Three Months Ended March 31, 2023 Protection Solutions Individual Retirement Legacy Corporate & Other Protection Solutions Individual Retirement Legacy Corporate & Other Term Payout Payout Group Pension Health Term Payout Payout Group Pension Health (in millions) Present Value of Expected Future Policy Benefits Balance, beginning of period $ 3,480 $ 844 $ 3,620 $ 490 $ 1,484 $ 3,465 $ 828 $ 2,689 $ 523 $ 1,553 Beginning balance of original discount rate 3,330 840 3,840 536 1,672 3,391 845 3,024 583 1,795 Effect of changes in cash flow assumptions (20) (1) — — — 9 — — — — Effect of actual variances from expected experience (23) (1) (2) 1 1 4 1 — (1) (7) Adjusted beginning of period balance 3,287 838 3,838 537 1,673 3,404 846 3,024 582 1,788 Issuances 12 11 269 — — 16 15 222 — — Interest accrual 41 10 35 5 14 42 10 21 5 15 Benefits payments (64) (23) (89) (16) (41) (95) (23) (65) (17) (33) Ending Balance at original discount rate 3,276 836 4,053 526 1,646 3,367 848 3,202 570 1,770 Effect of changes in discount rate assumptions 65 (16) (286) (53) (215) 164 6 (258) (48) (197) Balance, end of period $ 3,341 $ 820 $ 3,767 $ 473 $ 1,431 $ 3,531 $ 854 $ 2,944 $ 522 $ 1,573 Impact of flooring LFPB at zero 1 — — — — — — — — — Net liability for future policy benefits $ 1,316 820 3,767 473 1,450 1,371 854 2,944 522 1,583 Less: Reinsurance recoverable 24 (1) (1,068) — (1,147) 27 — (589) — (1,258) Net liability for future policy benefits, after reinsurance recoverable $ 1,340 $ 819 $ 2,699 $ 473 $ 303 $ 1,398 $ 854 $ 2,355 $ 522 $ 325 Weighted-average duration of liability for future policyholder benefits (years) 6.9 9.3 7.6 7.0 8.6 7.0 9.4 7.9 7.1 8.7 The following table provides the amount of undiscounted and discounted expected gross premiums and expected future benefits and expenses related to nonparticipating traditional and limited payment contracts: March 31, 2024 December 31, 2023 (in millions) Term Expected future benefit payments and expenses (undiscounted) $ 5,768 $ 5,878 Expected future gross premiums (undiscounted) 6,900 6,979 Expected future benefit payments and expenses (discounted; AOCI basis) 3,341 3,480 Expected future gross premiums (discounted; AOCI basis) 3,738 3,879 March 31, 2024 December 31, 2023 (in millions) Payout - Legacy Expected future benefit payments and expenses (undiscounted) 5,530 5,204 Expected future gross premiums (undiscounted) — — Expected future benefit payments and expenses (discounted; AOCI basis) 3,682 3,538 Expected future gross premiums (discounted; AOCI basis) — — Payout Expected future benefit payments and expenses (undiscounted) 1,414 1,426 Expected future gross premiums (undiscounted) — — Expected future benefit payments and expenses (discounted; AOCI basis) 786 812 Expected future gross premiums (discounted; AOCI basis) — — Group Pension Expected future benefit payments and expenses (undiscounted) 654 668 Expected future gross premiums (undiscounted) — — Expected future benefit payments and expenses (discounted; AOCI basis) 454 471 Expected future gross premiums (discounted; AOCI basis) — — Health Expected future benefit payments and expenses (undiscounted) 2,278 2,318 Expected future gross premiums (undiscounted) 82 85 Expected future benefit payments and expenses (discounted; AOCI basis) 1,415 1,468 Expected future gross premiums (discounted; AOCI basis) $ 64 $ 68 The table below summarizes the revenue and interest related to nonparticipating traditional and limited payment contracts: Three Months Ended March 31, 2024 2023 2024 2023 Gross Premium Interest Accretion (in millions) Revenue and Interest Accretion Term $ 88 $ 70 $ 16 $ 17 Payout - Legacy 59 27 39 21 Payout 9 15 10 10 Group Pension — — 5 5 Health 3 2 14 15 Total $ 159 $ 114 $ 84 $ 68 The following table provides the weighted average interest rates for the liability for future policy benefits: March 31, 2024 December 31, 2023 Weighted Average Interest Rate Term Interest accretion rate 5.6 % 5.6 % Current discount rate 5.1 % 4.8 % Payout - Legacy Interest accretion rate 4.1 % 4.0 % Current discount rate 5.1 % 4.9 % Payout Interest accretion rate 5.0 % 5.0 % Current discount rate 5.2 % 4.9 % Group Pension Interest accretion rate 3.3 % 3.3 % Current discount rate 5.1 % 4.8 % Health Interest accretion rate 3.4 % 3.4 % Current discount rate 5.2 % 4.9 % The following table provides the balance, changes in and the weighted average durations of the additional insurance liabilities: Three Months Ended March 31, 2024 2023 Protection Solutions UL (Dollars in millions) Balance, beginning of period $ 1,193 $ 1,109 Beginning balance before AOCI adjustments 1,230 1,135 Effect of changes in interest rate & cash flow assumptions and model changes — — Effect of actual variances from expected experience 1 6 Adjusted beginning of period balance 1,231 1,141 Interest accrual 14 13 Net assessments collected 18 18 Benefit payments (21) (18) Ending balance before shadow reserve adjustments 1,242 1,154 Effect of reserve adjustment recorded in AOCI (48) (21) Balance, end of period $ 1,194 $ 1,133 Net liability for additional liability $ 1,194 $ 1,133 Less: Reinsurance recoverable — — Net liability for additional liability, after reinsurance recoverable $ 1,194 $ 1,133 Weighted-average duration of additional liability - death benefit (years) 19.7 21.6 The following tables provide the revenue, interest and weighted average interest rates, related to the additional insurance liabilities: Three Months Ended March 31, 2024 2023 2024 2023 Assessments Interest Accretion (in millions) Revenue and Interest Accretion UL $ 164 $ 172 $ 14 $ 13 Total $ 164 $ 172 $ 14 $ 13 Three Months Ended March 31, 2024 2023 Weighted Average Interest Rate UL 4.5 % 4.5 % Interest accretion rate 4.5 % 4.5 % The discount rate used for additional insurance liabilities reserve is based on the crediting rate at issue. |
FAIR VALUE DISCLOSURES
FAIR VALUE DISCLOSURES | 3 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE DISCLOSURES | FAIR VALUE DISCLOSURES U.S. GAAP establishes a fair value hierarchy that requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value, and identifies three levels of inputs that may be used to measure fair value: Level 1 Unadjusted quoted prices for identical instruments in active markets. Level 1 fair values generally are supported by market transactions that occur with sufficient frequency and volume to provide pricing information on an ongoing basis. Level 2 Observable inputs other than Level 1 prices, such as quoted prices for similar instruments, quoted prices in markets that are not active, and inputs to model-derived valuations that are directly observable or can be corroborated by observable market data. Level 3 Unobservable inputs supported by little or no market activity and often requiring significant management judgment or estimation, such as an entity’s own assumptions about the cash flows or other significant components of value that market participants would use in pricing the asset or liability. The Company uses unadjusted quoted market prices to measure fair value for those instruments that are actively traded in financial markets. In cases where quoted market prices are not available, fair values are measured using present value or other valuation techniques. The fair value determinations are made at a specific point in time, based on available market information and judgments about the financial instrument, including estimates of the timing and amount of expected future cash flows and the credit standing of counterparties. Such adjustments do not reflect any premium or discount that could result from offering for sale at one time the Company’s entire holdings of a particular financial instrument, nor do they consider the tax impact of the realization of unrealized gains or losses. In many cases, the fair value cannot be substantiated by direct comparison to independent markets, nor can the disclosed value be realized in immediate settlement of the instrument. Management is responsible for the determination of the value of investments carried at fair value and the supporting methodologies and assumptions. Under the terms of various service agreements, the Company often utilizes independent valuation service providers to gather, analyze, and interpret market information and derive fair values based upon relevant methodologies and assumptions for individual securities. These independent valuation service providers typically obtain data about market transactions and other key valuation model inputs from multiple sources and, through the use of widely accepted valuation models, provide a single fair value measurement for individual securities for which a fair value has been requested. As further described below with respect to specific asset classes, these inputs include, but are not limited to, market prices for recent trades and transactions in comparable securities, benchmark yields, interest rate yield curves, credit spreads, quoted prices for similar securities, and other market-observable information, as applicable. Specific attributes of the security being valued are also considered, including its term, interest rate, credit rating, industry sector, and when applicable, collateral quality and other security- or issuer-specific information. When insufficient market observable information is available upon which to measure fair value, the Company either will request brokers knowledgeable about these securities to provide a non-binding quote or will employ internal valuation models. Fair values received from independent valuation service providers and brokers and those internally modeled or otherwise estimated are assessed for reasonableness. Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis Fair value measurements are required on a non-recurring basis for certain assets only when an impairment or other events occur. For the periods ended March 31, 2024 and December 31, 2023, the Company recognized impairment adjustments and impairment losses, respectively, to adjust the carrying value of held-for-sale asset and liabilities to their fair value less cost to sell. The value is measured on a nonrecurring basis and categorized within Level 3 of the fair value hierarchy. The fair value was determined using a market approach, estimated based on the negotiated value of the asset and liabilities. See Note 19 of the Notes to these Consolidated Financial Statements for additional details of the Held-for-Sale assets and liabilities. Assets and Liabilities Measured at Fair Value on a Recurring Basis Assets and liabilities measured at fair value on a recurring basis are summarized below: Fair Value Measurements as of March 31, 2024 Level 1 Level 2 Level 3 Total (in millions) Assets: Investments Fixed maturities, AFS: Corporate (1) $ — $ 42,020 $ 2,338 $ 44,358 U.S. Treasury, government and agency — 4,495 — 4,495 States and political subdivisions — 513 — 513 Foreign governments — 591 — 591 Residential mortgage-backed (2) — 2,540 — 2,540 Asset-backed (3) — 11,756 71 11,827 Commercial mortgage-backed — 3,216 7 3,223 Redeemable preferred stock — 59 — 59 Total fixed maturities, AFS — 65,190 2,416 67,606 Fixed maturities, at fair value using the fair value option — 1,443 244 1,687 Other equity investments (4) 251 463 55 769 Trading securities 393 886 61 1,340 Other invested assets: Short-term investments — 411 — 411 Assets of consolidated VIEs/VOEs 64 240 3 307 Swaps — (278) — (278) Credit default swaps — 3 — 3 Futures (1) — — (1) Options — 12,763 — 12,763 Total other invested assets 63 13,139 3 13,205 Cash equivalents 7,451 1,173 — 8,624 Segregated securities — 866 — 866 Purchased market risk benefits — — 8,337 8,337 Assets for market risk benefits — — 818 818 Separate Accounts assets (5) 130,299 2,591 1 132,891 Total Assets $ 138,457 $ 85,751 $ 11,935 $ 236,143 Liabilities: Notes issued by consolidated VIE’s, at fair value using the fair value option (6) $ — $ 1,561 $ — $ 1,561 SCS, SIO, MSO and IUL indexed features’ liability — 13,758 — 13,758 Liabilities of consolidated VIEs and VOEs — 5 — 5 Liabilities for market risk benefits — — 12,814 12,814 Contingent payment arrangements — — 254 254 Total Liabilities $ — $ 15,324 $ 13,068 $ 28,392 ______________ (1) Corporate fixed maturities includes both public and private issues. (2) Includes publicly traded agency pass-through securities and collateralized obligations. (3) Includes credit-tranched securities collateralized by sub-prime mortgages, credit risk transfer securities and other asset types. (4) Includes short position equity securities of $10 million that are reported in other liabilities. (5) Separate Accounts assets included in the fair value hierarchy exclude investments in entities that calculate NAV per share (or its equivalent) as a practical expedient. Such investments excluded from the fair value hierarchy include investments in real estate. As of March 31, 2024, the fair value of such investments was $354 million. (6) Accrued interest payable of $19 million is reported in Notes issued by consolidated VIE’s, at fair value using the fair value option in the consolidated balance sheets, which is not required to be measured at fair value on a recurring basis. Fair Value Measurements as of December 31, 2023 Level 1 Level 2 Level 3 Total (in millions) Assets: Investments Fixed maturities, AFS: Corporate (1) $ — $ 42,584 $ 2,158 $ 44,742 U.S. Treasury, government and agency — 4,631 — 4,631 States and political subdivisions — 522 27 549 Foreign governments — 611 — 611 Residential mortgage-backed (2) — 2,355 — 2,355 Asset-backed (3) — 10,954 47 11,001 Commercial mortgage-backed (2) — 3,075 7 3,082 Redeemable preferred stock — 59 — 59 Total fixed maturities, AFS — 64,791 2,239 67,030 Fixed maturities, at fair value using the fair value option — 1,473 181 1,654 Other equity investments (4) 217 464 54 735 Trading securities 321 675 61 1,057 Other invested assets: Short-term investments — 429 — 429 Assets of consolidated VIEs/VOEs 61 350 3 414 Swaps — (190) — (190) Credit default swaps — 3 — 3 Futures (4) — — (4) Options — 10,084 — 10,084 Total other invested assets 57 10,676 3 10,736 Cash equivalents 5,901 694 — 6,595 Segregated securities — 868 — 868 Purchased market risk benefits — — 9,427 9,427 Assets for market risk benefits — — 591 591 Separate Accounts assets (5) 124,099 2,624 — 126,723 Total Assets $ 130,595 $ 82,265 $ 12,556 $ 225,416 Liabilities: Notes issued by consolidated VIE’s, at fair value using the fair value option (6) $ — $ 1,539 $ — $ 1,539 SCS, SIO, MSO and IUL indexed features’ liability — 10,745 — 10,745 Liabilities of consolidated VIEs and VOEs 1 2 — 3 Liabilities for market risk benefits — — 14,612 14,612 Contingent payment arrangements — — 253 253 Total Liabilities $ 1 $ 12,286 $ 14,865 $ 27,152 ______________ (1) Corporate fixed maturities includes both public and private issues. (2) Includes publicly traded agency pass-through securities and collateralized obligations. (3) Includes credit-tranched securities collateralized by sub-prime mortgages, credit risk transfer securities and other asset types. (4) Includes short position equity securities of $4 million that are reported in other liabilities. (5) Separate Accounts assets included in the fair value hierarchy exclude investments in entities that calculate NAV per share (or its equivalent) as a practical expedient. Such investments excluded from the fair value hierarchy include investments in real estate. As of December 31, 2023, the fair value of such investments was $371 million. (6) Accrued interest payable of $20 million is reported in Notes issued by consolidated VIE’s, at fair value using the fair value option in the consolidated balance sheets, which is not required to be measured at fair value on a recurring basis. Public Fixed Maturities The fair values of the Company’s public fixed maturities, including those accounted for using the fair value option are generally based on prices obtained from independent valuation service providers and for which the Company maintains a vendor hierarchy by asset type based on historical pricing experience and vendor expertise. Although each security generally is priced by multiple independent valuation service providers, the Company ultimately uses the price received from the independent valuation service provider highest in the vendor hierarchy based on the respective asset type, with limited exception. To validate reasonableness, prices also are internally reviewed by those with relevant expertise through comparison with directly observed recent market trades. Consistent with the fair value hierarchy, public fixed maturities validated in this manner generally are reflected within Level 2, as they are primarily based on observable pricing for similar assets and/or other market observable inputs. Private Fixed Maturities The fair values of the Company’s private fixed maturities, including those accounted for using the fair value option are determined from prices obtained from independent valuation service providers. Prices not obtained from an independent valuation service provider are determined by using a discounted cash flow model or a market comparable company valuation technique. In certain cases, these models use observable inputs with a discount rate based upon the average of spread surveys collected from private market intermediaries who are active in both primary and secondary transactions, taking into account, among other factors, the credit quality and industry sector of the issuer and the reduced liquidity associated with private placements. Generally, these securities have been reflected within Level 2. For certain private fixed maturities, the discounted cash flow model or a market comparable company valuation technique may also incorporate unobservable inputs, which reflect the Company’s own assumptions about the inputs market participants would use in pricing the asset. To the extent management determines that such unobservable inputs are significant to the fair value measurement of a security, a Level 3 classification generally is made. Notes issued by consolidated VIE’s, at fair value using the fair value option These notes are based on the fair values of corresponding fixed maturity collateral. The CLO liabilities are also reduced by the fair value of the beneficial interests the Company retains in the CLO and the carrying value of any beneficial interests that represent compensation for services. As the notes are valued based on the reference collateral, they are classified as Level 2 or 3. Freestanding Derivative Positions The net fair value of the Company’s freestanding derivative positions as disclosed in Note 4 of the Notes to these Consolidated Financial Statements are generally based on prices obtained either from independent valuation service providers or derived by applying market inputs from recognized vendors into industry standard pricing models. The majority of these derivative contracts are traded in the OTC derivative market and are classified in Level 2. The fair values of derivative assets and liabilities traded in the OTC market are determined using quantitative models that require use of the contractual terms of the derivative instruments and multiple market inputs, including interest rates, prices, and indices to generate continuous yield or pricing curves, including overnight index swap curves, and volatility factors, which then are applied to value the positions. The predominance of market inputs is actively quoted and can be validated through external sources or reliably interpolated if less observable. Level Classifications of the Company’s Financial Instruments Financial Instruments Classified as Level 1 Investments classified as Level 1 primarily include redeemable preferred stock, trading securities, cash equivalents and Separate Accounts assets. Fair value measurements classified as Level 1 include exchange-traded prices of fixed maturities, equity securities and derivative contracts, and net asset values for transacting subscriptions and redemptions of mutual fund shares held by Separate Accounts. Cash equivalents classified as Level 1 include money market accounts, overnight commercial paper and highly liquid debt instruments purchased with an original maturity of three months or less and are carried at cost as a proxy for fair value measurement due to their short-term nature. Financial Instruments Classified as Level 2 Investments classified as Level 2 are measured at fair value on a recurring basis and primarily include U.S. government and agency securities, certain corporate debt securities and financial assets and liabilities accounted for using the fair value option, such as public and private fixed maturities. As market quotes generally are not readily available or accessible for these securities, their fair value measures are determined utilizing relevant information generated by market transactions involving comparable securities and often are based on model pricing techniques that effectively discount prospective cash flows to present value using appropriate sector-adjusted credit spreads commensurate with the security’s duration, also taking into consideration issuer-specific credit quality and liquidity. Segregated securities classified as Level 2 are U.S. Treasury bills segregated by AB in a special reserve bank custody account for the exclusive benefit of brokerage customers, as required by Rule 15c3-3 of the Exchange Act and for which fair values are based on quoted yields in secondary markets. Observable inputs generally used to measure the fair value of securities classified as Level 2 include benchmark yields, reported secondary trades, issuer spreads, benchmark securities and other reference data. Additional observable inputs are used when available, and as may be appropriate, for certain security types, such as pre-payment, default, and collateral information for the purpose of measuring the fair value of mortgage- and asset-backed securities. The Company’s AAA-rated mortgage- and asset-backed securities are classified as Level 2 for which the observability of market inputs to their pricing models is supported by sufficient, albeit more recently contracted, market activity in these sectors. Certain Company products, such as the SCS, EQUI-VEST variable annuity products, IUL and the MSO fund available in some life contracts, offer investment options which permit the contract owner to participate in the performance of an index, ETF or commodity price. These investment options, which depending on the product and on the index selected, can currently have one, three, five or six year terms, provide for participation in the performance of specified indices, ETF or commodity price movement up to a segment-specific declared maximum rate. Under certain conditions that vary by product, e.g., holding these segments for the full term, these segments also shield policyholders from some or all negative investment performance associated with these indices, ETF or commodity prices. These investment options have defined formulaic liability amounts, and the current values of the option component of these segment reserves are classified as Level 2 embedded derivatives. The fair values of these embedded derivatives are based on data obtained from independent valuation service providers. Financial Instruments Classified as Level 3 The Company’s investments classified as Level 3 primarily include corporate debt securities and financial assets and liabilities accounted for using the fair value option, such as private fixed maturities and asset-backed securities. Determinations to classify fair value measures within Level 3 of the valuation hierarchy generally are based upon the significance of the unobservable factors to the overall fair value measurement. Included in the Level 3 classification are fixed maturities with indicative pricing obtained from brokers that otherwise could not be corroborated to market observable data. The Company has certain variable annuity contracts with GMDB, GMIB, GIB and GWBL and other features in-force that guarantee one of the following: • Return of Premium: the benefit is the greater of current account value or premiums paid (adjusted for withdrawals); • Ratchet: the benefit is the greatest of current account value, premiums paid (adjusted for withdrawals), or the highest account value on any anniversary up to contractually specified ages (adjusted for withdrawals); • Roll-Up: the benefit is the greater of current account value or premiums paid (adjusted for withdrawals) accumulated at contractually specified interest rates up to specified ages; • Combo: the benefit is the greater of the ratchet benefit or the roll-up benefit, which may include either a five year or an annual reset; or • Withdrawal: the withdrawal is guaranteed up to a maximum amount per year for life. The Company also issues certain benefits on its variable annuity products that are accounted for as MRBs carried at fair value and are also considered Level 3 for fair value leveling. The GMIBNLG feature allows the policyholder to receive guaranteed minimum lifetime annuity payments based on predetermined annuity purchase rates applied to the contract’s benefit base if and when the contract account value is depleted and the NLG feature is activated. The optional GMIB feature allows the policyholder to receive guaranteed minimum lifetime annuity payments based on predetermined annuity purchase rates. The GMWB feature allows the policyholder to withdraw at a minimum, over the life of the contract, an amount based on the contract’s benefit base. The GWBL feature allows the policyholder to withdraw, each year for the life of the contract, a specified annual percentage of an amount based on the contract’s benefit base. The GMAB feature increases the contract account value at the end of a specified period to a GMAB base. The GIB feature provides a lifetime annuity based on predetermined annuity purchase rates if and when the contract account value is depleted. This lifetime annuity is based on predetermined annuity purchase rates applied to a GIB base. The GMDB feature guarantees that the benefit paid upon death will not be less than a guaranteed benefit base. If the contract’s account value is less than the benefit base at the time a death claim is paid, the amount payable will be equal to the benefit base. The MRBs fair value will be equal to the present value of benefits less the present value of ascribed fees. Considerable judgment is utilized by management in determining the assumptions used in determining present value of benefits and ascribed fees related to lapse rates, withdrawal rates, utilization rates, non-performance risk, volatility rates, annuitization rates and mortality (collectively, the significant MRB assumptions). Purchased MRB assets, which are accounted for as MRBs carried at fair value are also considered Level 3 for fair value leveling. The purchased MRB asset fair value reflects the present value of reinsurance premiums, net of recoveries, adjusted for risk margins and nonperformance risk over a range of market consistent economic scenarios while the MRB asset and liability reflects the present value of expected future payments (benefits) less fees, adjusted for risk margins and nonperformance risk, attributable to the MRB asset and liability over a range of market-consistent economic scenarios. The valuations of the MRBs and purchased MRB assets incorporate significant non-observable assumptions related to policyholder behavior, risk margins and projections of equity Separate Accounts funds. The credit risks of the counterparty and of the Company are considered in determining the fair values of its MRBs and purchased MRB assets after taking into account the effects of collateral arrangements. Incremental adjustment to the risk-free curve for counterparty non-performance risk is made to the fair values of the purchased MRB assets. Risk margins were applied to the non-capital markets inputs to the MRBs and purchased MRB valuations. After giving consideration to collateral arrangements, the Company reduced the fair value of its purchased MRB asset by $558 million and $687 million as of March 31, 2024 and December 31, 2023, respectively, to recognize incremental counterparty non-performance risk. The Company’s Level 3 liabilities include contingent payment arrangements associated with acquisitions in 2020 and 2022 by AB. At each reporting date, AB estimates the fair values of the contingent consideration expected to be paid based upon revenue and discount rate projections, using unobservable market data inputs, which are included in Level 3 of the valuation hierarchy. The Company’s consolidated VIEs/VOEs hold investments that are classified as Level 3, primarily corporate bonds that are vendor priced with no ratings available, bank loans, non-agency collateralized mortgage obligations and asset-backed securities. Transfers of Financial Instruments Between Levels 2 and 3 During the three months ended March 31, 2024, fixed maturities with fair values of $169 million were transferred out of Level 3 and into Level 2 principally due to the availability of trading activity and/or market observable inputs to measure and validate their fair values. In addition, fixed maturities with fair value of $120 million were transferred from Level 2 into the Level 3 classification. These transfers in the aggregate represent approximately 7.7% of total equity as of March 31, 2024. During the three months ended March 31, 2023, fixed maturities with fair values of $401 million were transferred out of Level 3 and into Level 2 principally due to the availability of trading activity and/or market observable inputs to measure and validate their fair values. In addition, fixed maturities with fair value of $56 million were transferred from Level 2 into the Level 3 classification. These transfers in the aggregate represent approximately 8.4% of total equity as of March 31, 2023. The tables below present reconciliations for all Level 3 assets and liabilities and changes in unrealized gains (losses). Not included below are the changes in balances related to MRBs and purchased MRBs level 3 assets and liabilities, which are included in Note 9 of the Notes to these Consolidated Financial Statements. Three Months Ended March 31, 2024 Corporate State and Political Subdivisions Asset-backed RMBS CMBS (in millions) Balance, beginning of period $ 2,158 $ 27 $ 47 $ — $ 7 Total gains and (losses), realized and unrealized, included in: Net income (loss) as: Net investment income (loss) 2 — — — — Investment gains (losses), net (1) — — — — Subtotal 1 — — — — Other comprehensive income (loss) 10 — — — — Purchases 215 — 48 — — Sales (56) — (10) — — Settlements — — — — — Other — — — — — Activity related to consolidated VIEs/VOEs — — — — — Transfers into Level 3 (1) 57 — — — — Transfers out of Level 3 (1) (47) (27) (14) — — Balance, end of period $ 2,338 $ — $ 71 $ — $ 7 Change in unrealized gains or losses for the period included in earnings for instruments held at the end of the reporting period (2) $ — $ — $ — $ — $ — Change in unrealized gains or losses for the period included in other comprehensive income for instruments held at the end of the reporting period (2) $ 10 $ — $ — $ — $ — ______________ (1) Transfers into/out of the Level 3 classification are reflected at beginning-of-period fair values. (2) For instruments held as of March 31, 2024, amounts are included in net investment income or net derivative gains (losses) in the consolidated statements of income (loss) or unrealized gains (losses) on investments in the consolidated statements of comprehensive income. Three Months Ended March 31, 2024 Fixed maturities, at FVO Other Equity Investments (3) Trading Securities, at Fair Value Separate Accounts Assets Contingent Payment Arrangement (in millions) Balance, beginning of period $ 181 $ 57 $ 61 $ — $ (253) Total gains and (losses), realized and unrealized, included in: Net income (loss) as: Net investment income (loss) 16 1 — — — Investment gains (losses), net — — — — — Subtotal 16 1 — — — Other comprehensive income (loss) — — — — — Purchases 80 42 — 1 — Sales (15) (42) — — — Settlements — — — — 1 Other — — — — (2) Activity related to consolidated VIEs/VOEs — — — — — Transfers into Level 3 (1) 63 — — — — Transfers out of Level 3 (1) (81) — — — — Three Months Ended March 31, 2024 Fixed maturities, at FVO Other Equity Investments (3) Trading Securities, at Fair Value Separate Accounts Assets Contingent Payment Arrangement (in millions) Balance, end of period $ 244 $ 58 $ 61 $ 1 $ (254) Change in unrealized gains or losses for the period included in earnings for instruments held at the end of the reporting period (2) $ — $ 1 $ — $ — $ — Change in unrealized gains or losses for the period included in other comprehensive income for instruments held at the end of the reporting period (2) $ 28 $ — $ — $ — $ — ______________ (1) Transfers into/out of the Level 3 classification are reflected at beginning-of-period fair values. (2) For instruments held as of March 31, 2024, amounts are included in net investment income or net derivative gains (losses) in the consolidated statements of income (loss) or unrealized gains (losses) on investments in the consolidated statements of comprehensive income. (3) Other Equity Investments include other invested assets. Three Months Ended March 31, 2023 Corporate State and Political Subdivisions Asset-backed RMBS CMBS (in millions) Balance, beginning of period $ 2,121 $ 28 $ — $ 34 $ 32 Total gains and (losses), realized and unrealized, included in: Net income (loss) as: Net investment income (loss) 2 — — — — Investment gains (losses), net (3) — — — — Subtotal (1) — — — — Other comprehensive income (loss) 18 — — — — Purchases 171 — 12 — 2 Sales (91) — — — — Settlements — — — — — Other — — — — — Activity related to consolidated VIEs/VOEs — — — — — Transfers into Level 3 (1) — — — — — Transfers out of Level 3 (1) (268) — — (34) — Balance, end of period $ 1,950 $ 28 $ 12 $ — $ 34 Change in unrealized gains or losses for the period included in earnings for instruments held at the end of the reporting period (2) $ — $ — $ — $ — $ — Change in unrealized gains or losses for the period included in other comprehensive income for instruments held at the end of the reporting period (2) $ 17 $ — $ — $ — $ — ______________ (1) Transfers into/out of the Level 3 classification are reflected at beginning-of-period fair values. (2) For instruments held as of March 31, 2023, amounts are included in net investment income or net derivative gains (losses) in the consolidated statements of income (loss) or unrealized gains (losses) on investments in the consolidated statements of comprehensive income. Three Months Ended March 31, 2023 Fixed maturities, at FVO Other Equity Investments (3) Trading Securities, at Fair Value Separate Accounts Assets Contingent Payment Arrangement (in millions) Balance, beginning of period $ 224 $ 17 $ 55 $ 1 $ (247) Total gains and (losses), realized and unrealized, included in: Net income (loss) as: Net investment income (loss) 3 (3) — — — Investment gains (losses), net — — — — — Subtotal 3 (3) — — — Other comprehensive income (loss) — — — — — Purchases 12 — — — — Sales — — — — — Settlements — — — — — Other — — — — (1) Activity related to consolidated VIEs/VOEs — — — — — Transfers into Level 3 (1) 56 1 — — — Transfers out of Level 3 (1) (99) — — — — Balance, end of period $ 196 $ 15 $ 55 $ 1 $ (248) Change in unrealized gains or losses for the period included in earnings for instruments held at the end of the reporting period (2) $ 3 $ (3) $ — $ — $ — Change in unrealized gains or losses for the period included in other comprehensive income for instruments held at the end of the reporting period (2) $ — $ — $ — $ — $ — (1) Transfers into/out of the Level 3 classification are reflected at beginning-of-period fair values. (2) For instruments held as of March 31, 2023, amounts are included in net investment income or net derivative gains (losses) in the consolidated statements of income (loss) or unrealized gains (losses) on investments in the consolidated statements of comprehensive income. (3) Other Equity Investments include other invested assets. Quantitative and Qualitative Information about Level 3 Fair Value Measurements The following tables disclose quantitative information about Level 3 fair value measurements by category for assets and liabilities: Quantitative Information about Level 3 Fair Value Measurements as of March 31, 2024 Fair Valuation Technique Significant Unobservable Input Range Weighted Average (2) (Dollars in millions) Assets: Investments: Fixed maturities, AFS: Corporate $ 350 Matrix pricing model Spread over Benchmark 20 bps - 270 bps 145 bps 1,172 Market comparable EBITDA multiples Discount rate Cash flow multiples Loan to value 3.3x - 30.5x 0.0% - 19.2% 0.8x - 9.3x 0.0% - 61.4% 13.5x 3.8% 6.2x 14.0% Trading securities, at fair value 61 Discounted cash flow Earnings multiple Discount factor Discount years 9.1x 10.0% 7 Other equity investments 2 Discounted cash flow Earnings Multiple 3.9x - 7.0x 5.9x Purchased MRB asset (1) (2) (4) 8,337 Discounted cash flow Lapse rates Withdrawal rates GMIB Utilization rates Non-performance risk Volatility rates - Equity Mortality: Ages 0-40 Ages 41-60 Ages 61-115 0.21%-12.38% 0.07%-14.97% 0.04%-66.21% 32 bps - 101 bps 12%-28% 0.01%-0.18% 0.07%-0.53% 0.33%-42.00% 1.96% 0.50% 6.91% 40 bps 23% 3.25% (same for all ages) (same for all ages) Liabilities: AB Contingent consideration payable $ 254 Discounted cash flow Expected revenue growth rates Discount rate 2.0% - 29.3% 1.9% - 10.4% 7.9% 4.6% Direct MRB (1) (2) (3) (4) 11,996 Discounted cash flow Non-performance risk Lapse rates Withdrawal rates Annuitization rates Mortality: Ages 0-40 Ages 41-60 Ages 61-115 117 bps 0.21%-29.37% 0.00%-14.97% 0.04%-100.00% 0.01%-0.18% 0.07%-0.53% 0.33%-42.00% 117 bps 3.20% 0.67% 5.15% 2.67% (same for all ages) (same for all ages) ______________ (1) Mortality rates vary by age and demographic characteristic such as gender. Mortality rate assumptions are based on a combination of company and industry experience. A mortality improvement assumption is also applied. For any given contract, mortality rates vary throughout the period over which cash flows are projected for purposes of valuating the embedded derivatives. (2) Lapses and pro-rata withdrawal rates were developed as |
LIABILITIES FOR FUTURE POLICYHO
LIABILITIES FOR FUTURE POLICYHOLDER BENEFITS | 3 Months Ended |
Mar. 31, 2024 | |
Insurance [Abstract] | |
LIABILITIES FOR FUTURE POLICYHOLDER BENEFITS | DAC AND OTHER DEFERRED ASSETS/LIABILITIES The following table presents a reconciliation of DAC to the consolidated balance sheets: March 31, December 31, 2024 2023 (in millions) Protection Solutions Term $ 331 $ 337 Universal Life 174 174 Variable Universal Life 1,009 987 Indexed Universal Life 187 188 Individual Retirement GMxB Core 1,604 1,602 EQUI-VEST Individual 154 155 Investment Edge 180 172 SCS 1,655 1,571 Legacy Segment GMxB Legacy 546 555 Group Retirement EQUI-VEST Group 747 742 Momentum 80 82 Corporate and Other 114 116 Other 23 24 Total $ 6,804 $ 6,705 Annually, or as circumstances warrant, we review the associated decrements assumptions (i.e., mortality and lapse) based on our multi-year average of companies experience with actuarial judgements to reflect other observable industry trends. In addition to DAC, the unearned revenue liability and sales inducement asset (“SIA”) use similar techniques and quarterly update processes for balance amortization. Changes in the DAC asset were as follows: Three Months Ended March 31, 2024 Protection Solutions Individual Retirement Legacy Group Retirement Corporate and Other Total Term UL VUL IUL GMxB Core EI IE SCS GMxB Legacy EG Momentum CB (1) (in millions) Balance, beginning of period $ 337 $ 174 $ 987 $ 188 $ 1,602 $ 155 $ 172 $ 1,571 $ 555 $ 742 $ 82 $ 116 $ 6,681 Capitalization 4 3 37 2 39 2 12 148 7 15 2 — 271 Amortization (2) (10) (3) (15) (3) (37) (3) (4) (64) (16) (10) (4) (2) (171) Balance, end of period $ 331 $ 174 $ 1,009 $ 187 $ 1,604 $ 154 $ 180 $ 1,655 $ 546 $ 747 $ 80 $ 114 $ 6,781 ______________ (1) “CB” defined as Closed Block. (2) DAC amortization of $1 million related to Other not reflected in table above. Three Months Ended March 31, 2023 Protection Solutions Individual Retirement Legacy Group Retirement Corporate and Other Total Term UL VUL IUL GMxB Core EI IE SCS GMxB Legacy EG Momentum CB (in millions) Balance, beginning of period $ 362 $ 179 $ 889 $ 185 $ 1,625 $ 156 $ 148 $ 1,279 $ 593 $ 710 $ 89 $ 127 $ 6,342 Capitalization 4 1 35 3 19 3 11 101 6 16 3 — 202 Amortization (1) (10) (3) (14) (3) (35) (3) (3) (47) (16) (10) (5) (3) (152) Balance, end of period $ 356 $ 177 $ 910 $ 185 $ 1,609 $ 156 $ 156 $ 1,333 $ 583 $ 716 $ 87 $ 124 $ 6,392 Changes in the Individual Retirement sales inducement assets were as follows: Three Months Ended March 31, 2024 2023 GMxB Core GMxB Legacy GMxB Core GMxB Legacy (in millions) Balance, beginning of period $ 127 $ 179 $ 137 $ 200 Capitalization 1 — — — Amortization (3) (5) (3) (5) Balance, end of period $ 125 $ 174 $ 134 $ 195 Changes in the Protection Solutions unearned revenue liability were as follows: Three Months Ended March 31, 2024 2023 UL VUL IUL UL VUL IUL (in millions) Balance, beginning of period $ 107 $ 754 $ 210 $ 95 $ 684 $ 157 Capitalization 4 32 14 5 27 17 Amortization (2) (12) (3) (2) (10) (3) Balance, end of period $ 109 $ 774 $ 221 $ 98 $ 701 $ 171 The following table reconciles the net liability for future policy benefits and liability of death benefits to the liability for future policy benefits in the consolidated balance sheets: March 31, 2024 December 31, 2023 (in millions) Reconciliation Term $ 1,316 $ 1,348 Individual Retirement - Payout 820 844 Legacy - Payout 3,767 3,620 Group Pension - Benefit Reserve & DPL 473 490 Health 1,450 1,505 UL 1,194 1,193 Subtotal 9,020 9,000 Whole Life Closed Block and Open Block products 5,384 5,444 Other (1) 948 970 Future policyholder benefits total 15,352 15,414 Other policyholder funds and dividends payable 1,972 1,949 Total $ 17,324 $ 17,363 _____________ (1) Primarily consists of future policy benefits related to Protective Life and Annuity, Assumed Life and Disability, Group Life Run off, Variable Interest Sensitive Life rider and Employee Benefits. The following table summarizes balances and changes in the liability for future policy benefits for nonparticipating traditional and limited pay contracts: Three Months Ended March 31, 2024 Three Months Ended March 31, 2023 Protection Solutions Individual Retirement Legacy Corporate & Other Protection Solutions Individual Retirement Legacy Corporate & Other Term Payout Payout Group Pension Health Term Payout Payout Group Pension Health (in millions) Present Value of Expected Net Premiums Balance, beginning of period $ 2,133 $ — $ — $ — $ (21) $ 2,100 $ — $ — $ — $ (5) Beginning balance at original discount rate 2,058 — — — (22) 2,078 — — — (5) Effect of changes in cash flow assumptions (18) — — — — 8 — — — — Effect of actual variances from expected experience (18) — — — 1 3 — — — (6) Adjusted beginning of period balance 2,022 — — — (21) 2,089 — — — (11) Issuances 11 — — — — 15 — — — — Interest accrual 25 — — — — 25 — — — — Net premiums collected (49) — — — 1 (51) — — — 1 Ending Balance at original discount rate 2,009 — — — (20) 2,078 — — — (10) Effect of changes in discount rate assumptions 17 — — — 1 82 — — — — Balance, end of period $ 2,026 $ — $ — $ — $ (19) $ 2,160 $ — $ — $ — $ (10) Three Months Ended March 31, 2024 Three Months Ended March 31, 2023 Protection Solutions Individual Retirement Legacy Corporate & Other Protection Solutions Individual Retirement Legacy Corporate & Other Term Payout Payout Group Pension Health Term Payout Payout Group Pension Health (in millions) Present Value of Expected Future Policy Benefits Balance, beginning of period $ 3,480 $ 844 $ 3,620 $ 490 $ 1,484 $ 3,465 $ 828 $ 2,689 $ 523 $ 1,553 Beginning balance of original discount rate 3,330 840 3,840 536 1,672 3,391 845 3,024 583 1,795 Effect of changes in cash flow assumptions (20) (1) — — — 9 — — — — Effect of actual variances from expected experience (23) (1) (2) 1 1 4 1 — (1) (7) Adjusted beginning of period balance 3,287 838 3,838 537 1,673 3,404 846 3,024 582 1,788 Issuances 12 11 269 — — 16 15 222 — — Interest accrual 41 10 35 5 14 42 10 21 5 15 Benefits payments (64) (23) (89) (16) (41) (95) (23) (65) (17) (33) Ending Balance at original discount rate 3,276 836 4,053 526 1,646 3,367 848 3,202 570 1,770 Effect of changes in discount rate assumptions 65 (16) (286) (53) (215) 164 6 (258) (48) (197) Balance, end of period $ 3,341 $ 820 $ 3,767 $ 473 $ 1,431 $ 3,531 $ 854 $ 2,944 $ 522 $ 1,573 Impact of flooring LFPB at zero 1 — — — — — — — — — Net liability for future policy benefits $ 1,316 820 3,767 473 1,450 1,371 854 2,944 522 1,583 Less: Reinsurance recoverable 24 (1) (1,068) — (1,147) 27 — (589) — (1,258) Net liability for future policy benefits, after reinsurance recoverable $ 1,340 $ 819 $ 2,699 $ 473 $ 303 $ 1,398 $ 854 $ 2,355 $ 522 $ 325 Weighted-average duration of liability for future policyholder benefits (years) 6.9 9.3 7.6 7.0 8.6 7.0 9.4 7.9 7.1 8.7 The following table provides the amount of undiscounted and discounted expected gross premiums and expected future benefits and expenses related to nonparticipating traditional and limited payment contracts: March 31, 2024 December 31, 2023 (in millions) Term Expected future benefit payments and expenses (undiscounted) $ 5,768 $ 5,878 Expected future gross premiums (undiscounted) 6,900 6,979 Expected future benefit payments and expenses (discounted; AOCI basis) 3,341 3,480 Expected future gross premiums (discounted; AOCI basis) 3,738 3,879 March 31, 2024 December 31, 2023 (in millions) Payout - Legacy Expected future benefit payments and expenses (undiscounted) 5,530 5,204 Expected future gross premiums (undiscounted) — — Expected future benefit payments and expenses (discounted; AOCI basis) 3,682 3,538 Expected future gross premiums (discounted; AOCI basis) — — Payout Expected future benefit payments and expenses (undiscounted) 1,414 1,426 Expected future gross premiums (undiscounted) — — Expected future benefit payments and expenses (discounted; AOCI basis) 786 812 Expected future gross premiums (discounted; AOCI basis) — — Group Pension Expected future benefit payments and expenses (undiscounted) 654 668 Expected future gross premiums (undiscounted) — — Expected future benefit payments and expenses (discounted; AOCI basis) 454 471 Expected future gross premiums (discounted; AOCI basis) — — Health Expected future benefit payments and expenses (undiscounted) 2,278 2,318 Expected future gross premiums (undiscounted) 82 85 Expected future benefit payments and expenses (discounted; AOCI basis) 1,415 1,468 Expected future gross premiums (discounted; AOCI basis) $ 64 $ 68 The table below summarizes the revenue and interest related to nonparticipating traditional and limited payment contracts: Three Months Ended March 31, 2024 2023 2024 2023 Gross Premium Interest Accretion (in millions) Revenue and Interest Accretion Term $ 88 $ 70 $ 16 $ 17 Payout - Legacy 59 27 39 21 Payout 9 15 10 10 Group Pension — — 5 5 Health 3 2 14 15 Total $ 159 $ 114 $ 84 $ 68 The following table provides the weighted average interest rates for the liability for future policy benefits: March 31, 2024 December 31, 2023 Weighted Average Interest Rate Term Interest accretion rate 5.6 % 5.6 % Current discount rate 5.1 % 4.8 % Payout - Legacy Interest accretion rate 4.1 % 4.0 % Current discount rate 5.1 % 4.9 % Payout Interest accretion rate 5.0 % 5.0 % Current discount rate 5.2 % 4.9 % Group Pension Interest accretion rate 3.3 % 3.3 % Current discount rate 5.1 % 4.8 % Health Interest accretion rate 3.4 % 3.4 % Current discount rate 5.2 % 4.9 % The following table provides the balance, changes in and the weighted average durations of the additional insurance liabilities: Three Months Ended March 31, 2024 2023 Protection Solutions UL (Dollars in millions) Balance, beginning of period $ 1,193 $ 1,109 Beginning balance before AOCI adjustments 1,230 1,135 Effect of changes in interest rate & cash flow assumptions and model changes — — Effect of actual variances from expected experience 1 6 Adjusted beginning of period balance 1,231 1,141 Interest accrual 14 13 Net assessments collected 18 18 Benefit payments (21) (18) Ending balance before shadow reserve adjustments 1,242 1,154 Effect of reserve adjustment recorded in AOCI (48) (21) Balance, end of period $ 1,194 $ 1,133 Net liability for additional liability $ 1,194 $ 1,133 Less: Reinsurance recoverable — — Net liability for additional liability, after reinsurance recoverable $ 1,194 $ 1,133 Weighted-average duration of additional liability - death benefit (years) 19.7 21.6 The following tables provide the revenue, interest and weighted average interest rates, related to the additional insurance liabilities: Three Months Ended March 31, 2024 2023 2024 2023 Assessments Interest Accretion (in millions) Revenue and Interest Accretion UL $ 164 $ 172 $ 14 $ 13 Total $ 164 $ 172 $ 14 $ 13 Three Months Ended March 31, 2024 2023 Weighted Average Interest Rate UL 4.5 % 4.5 % Interest accretion rate 4.5 % 4.5 % The discount rate used for additional insurance liabilities reserve is based on the crediting rate at issue. |
MARKET RISK BENEFITS
MARKET RISK BENEFITS | 3 Months Ended |
Mar. 31, 2024 | |
Market Risk Benefit [Abstract] | |
MARKET RISK BENEFITS | MARKET RISK BENEFITS The following table presents the balances and changes to the balances for MRBs for the GMxB benefits on deferred variable annuities: Three Months Ended March 31, 2024 2023 Individual Retirement Legacy Individual Retirement Legacy GMxB Core GMxB Legacy Purchased MRB Net Legacy GMxB Core GMxB Legacy Purchased MRB Net Legacy (in millions) Balance, beginning of period $ 590 $ 13,418 $ (9,420) $ 3,998 $ 530 $ 14,699 $ (10,415) $ 4,284 Balance BOP before changes in the instrument specific credit risk 322 13,028 (9,387) 3,641 529 15,314 (10,358) 4,956 Model changes and effect of changes in cash flow assumptions (3) (2) (8) 150 142 — — — — Actual market movement effect (160) (788) 393 (395) (211) (744) 387 (357) Interest accrual 16 161 (113) 48 18 197 (153) 44 Attributed fees accrued (1) 95 200 (80) 120 95 209 (83) 126 Benefit payments (10) (321) 169 (152) (12) (342) 185 (157) Actual policyholder behavior different from expected behavior 5 (23) 9 (14) 7 21 (18) 3 Changes in future economic assumptions (194) (923) 553 (370) 125 944 (530) 414 Issuances (2) — — — (1) — — — Balance EOP before changes in the instrument-specific credit risk 70 11,326 (8,306) 3,020 550 15,599 (10,570) 5,029 Changes in the instrument-specific credit risk (2) 245 375 (27) 348 (233) (1,517) (99) (1,616) Balance, end of period $ 315 $ 11,701 $ (8,333) $ 3,368 $ 317 $ 14,082 $ (10,669) $ 3,413 Weighted-average age of policyholders (years) 64.6 73.2 72.8 N/A 63.7 72.8 72.2 N/A Net amount at risk $ 2,764 $ 19,673 $ 10,407 N/A $ 3,287 $ 21,472 $ 10,045 N/A ______________ (1) Attributed fees accrued represents the portion of the fees needed to fund future GMxB claims. (2) Changes are recorded in OCI except for reinsurer credit which is reflected in the consolidated income statement. (3) Includes the impact primarily of a non-affiliated recapture of reinsurance completed in the first quarter of 2024. The following table reconciles MRBs by the amounts in an asset position and amounts in a liability position to the MRB amounts in the consolidated balance sheets: March 31, 2024 December 31, 2023 Direct Asset Direct Liability Net Direct MRB Purchased MRB Total Direct Asset Direct Liability Net Direct MRB Purchased MRB Total (in millions) Individual Retirement GMxB Core $ (558) $ 873 $ 315 $ — $ 315 $ (418) $ 1,008 $ 590 $ — $ 590 Legacy Segment GMxB Legacy (170) 11,871 11,701 (8,333) 3,368 (102) 13,520 13,418 (9,420) 3,998 Other (1) (90) 70 (20) (4) (24) (71) 84 13 (7) 6 Total $ (818) $ 12,814 $ 11,996 $ (8,337) $ 3,659 $ (591) $ 14,612 $ 14,021 $ (9,427) $ 4,594 ______________ (1) Other primarily includes SCS. |
POLICYHOLDER ACCOUNT BALANCES
POLICYHOLDER ACCOUNT BALANCES | 3 Months Ended |
Mar. 31, 2024 | |
Policyholder Account Balance [Abstract] | |
POLICYHOLDER ACCOUNT BALANCES | POLICYHOLDER ACCOUNT BALANCES The following table reconciles the policyholders account balances to the policyholders’ account balance liability in the consolidated balance sheets: March 31, 2024 December 31, 2023 (in millions) Policyholders’ account balance reconciliation Protection Solutions Universal Life $ 5,163 $ 5,202 Variable Universal Life 4,886 4,862 Legacy Segment GMxB Legacy 616 618 Individual Retirement GMxB Core 22 36 SCS 54,373 49,002 EQUI-VEST Individual 2,242 2,322 Group Retirement EQUI-VEST Group 11,430 11,563 Momentum 590 608 Other (1) (2) 6,787 6,570 Balance (exclusive of Funding Agreements) 86,109 80,783 Funding Agreements (2) 14,137 14,890 Balance, end of period $ 100,246 $ 95,673 _____________ (1) Primarily reflects products IR Payout, IR Other, Indexed Universal Life, Investment Edge, Group Pension, Closed Block and Corporate and Other. (2) Balances as of December 31, 2023 were revised from previously filed financial statements. The following table summarizes the balances and changes in policyholder’s account balances: Three Months Ended March 31, 2024 Protection Solutions Legacy Individual Retirement Group Retirement Universal Life Variable Universal Life GMxB Legacy GMxB Core SCS (1) EQUI-VEST Individual EQUI-VEST Group Momentum (Dollars in millions) Balance, beginning of period $ 5,202 $ 4,862 $ 618 $ 36 $ 49,002 $ 2,322 $ 11,563 $ 608 Premiums received 166 27 19 58 5 7 151 18 Policy charges (182) (64) 18 (6) (4) — (1) — Surrenders and withdrawals (20) (20) (22) (8) (953) (91) (443) (30) Benefit payments (58) (19) (24) (1) (72) (15) (17) (1) Net transfers from (to) separate account — 48 1 (59) 3,175 2 81 (8) Interest credited (2) 55 52 6 2 3,220 17 96 3 Other — — — — — — — — Balance, end of period $ 5,163 $ 4,886 $ 616 $ 22 $ 54,373 $ 2,242 $ 11,430 $ 590 Weighted-average crediting rate 3.79% 3.73% 2.71% 1.65% N/A 2.98% 2.65% 2.33% Net amount at risk (3) $ 34,991 $ 115,499 $ 19,673 $ 2,764 $ — $ 104 $ 6 $ — Cash surrender value $ 3,405 $ 3,186 $ 550 $ 258 $ 50,667 $ 2,235 $ 11,368 $ 591 ______________ (1) SCS sales are recorded as a Separate Account liability until they are swept into the General Account. This sweep is recorded as Net Transfers from (to) separate account. (2) SCS and EQUI-VEST Group includes amounts related to the change in embedded derivative. (3) For life insurance products the net amount at risk is death benefit less account value for the policyholder. For variable annuity products the net amount at risk is the maximum GMxB NAR for the policyholder. Three Months Ended March 31, 2023 Protection Solutions Legacy Individual Retirement Group Retirement Universal Life Variable Universal Life GMxB Legacy GMxB Core SCS (1) EQUI-VEST Individual EQUI-VEST Group Momentum (Dollars in millions) Balance, beginning of period $ 5,340 $ 4,909 $ 688 $ 69 $ 35,702 $ 2,652 $ 12,045 $ 702 Premiums received 184 38 20 46 — 11 148 19 Policy charges (194) (65) 19 (4) (1) — (1) — Surrenders and withdrawals (18) (1) (25) (8) (607) (94) (405) (30) Benefit payments (76) (40) (24) (1) (59) (20) (17) (2) Net transfers from (to) separate account — (45) — (49) 1,982 3 69 (9) Interest credited (2) 55 55 7 2 1,620 19 102 3 Other — — — — — 3 11 — Balance, end of period $ 5,291 $ 4,851 $ 685 $ 55 $ 38,637 $ 2,574 $ 11,952 $ 683 Weighted-average crediting rate 3.64% 3.81% 1.78% 1.05% 1.12% 3.09% 2.99% 2.03% Net amount at risk (3) $ 37,031 $ 114,419 $ 21,472 $ 3,287 $ 43 $ 128 $ 58 $ — Cash surrender value $ 3,475 $ 3,293 $ 957 $ 284 $ 35,286 $ 2,567 $ 11,871 $ 684 ______________ (1) SCS sales are recorded as a Separate Account liability until they are swept into the General Account. This sweep is recorded as Net Transfers from (to) separate account. (2) SCS and EQUI-VEST includes amounts related to the change in embedded derivative. (3) For life insurance products, the net amount at risk is the death benefit less account value for the policyholder. For variable annuity products, the net amount at risk is the maximum GMxB NAR for the policyholder. The following table presents the account values by range of guaranteed minimum crediting rates and the related range of the difference in basis points, between rates being credited policyholders and the respective guaranteed minimums: March 31, 2024 Product Range of Guaranteed Minimum Crediting Rate At Guaranteed Minimum 1 Basis Point - 50 Basis Points Above 51 Basis Points - 150 Basis Points Above Greater Than 150 Basis Points Above Total ( in millions) Protection Solutions Universal Life 0.00% - 1.50% $ — $ — $ — $ 6 $ 6 1.51% - 2.50% 38 89 415 485 1,026 Greater than2.50% 3,484 617 — — 4,101 Total $ 3,521 $ 707 $ 415 $ 491 $ 5,133 Variable Universal Life 0.00% - 1.50% $ 13 $ 23 $ 69 $ 16 $ 121 1.51% - 2.50% 29 457 74 — 561 Greater than 2.50% 3,703 — 14 5 3,723 Total $ 3,746 $ 480 $ 157 $ 21 $ 4,404 Legacy Segment March 31, 2024 Product Range of Guaranteed Minimum Crediting Rate At Guaranteed Minimum 1 Basis Point - 50 Basis Points Above 51 Basis Points - 150 Basis Points Above Greater Than 150 Basis Points Above Total ( in millions) GMxB Legacy 0.00% - 1.50% $ 72 $ 16 $ — $ — $ 87 1.51% - 2.50% 20 — — — 20 Greater than 2.50% 444 — — — 444 Total $ 536 $ 16 $ — $ — $ 551 Individual Retirement GMxB Core 0.00% - 1.50% $ 12 $ 184 $ — $ — $ 196 1.51% - 2.50% 12 — — — 12 Greater than 2.50% 57 — — — 57 Total $ 81 $ 184 $ — $ — $ 265 EQUI-VEST Individual 0.00% - 1.50% $ 47 $ 213 $ — $ — $ 259 1.51% - 2.50% 41 — — — 41 Greater than 2.50% 1,940 — — — 1,940 Total $ 2,027 $ 213 $ — $ — $ 2,240 Group Retirement EQUI-VEST 0.00% - 1.50% $ 756 $ 2,356 $ 36 $ 289 $ 3,436 1.51% - 2.50% 347 — — — 347 Greater than 2.50% 6,448 — — — 6,449 Total $ 7,551 $ 2,356 $ 36 $ 289 $ 10,232 Momentum 0.00% - 1.50% $ — $ 13 $ 318 $ 53 $ 384 1.51% - 2.50% 132 1 — — 133 Greater than 2.50% 68 — 5 — 72 Total $ 199 $ 14 $ 322 $ 53 $ 589 December 31, 2023 Product Range of Guaranteed Minimum Crediting Rate At Guaranteed Minimum 1 Basis Point - 50 Basis Points Above 51 Basis Points - 150 Basis Points Above Greater Than 150 Basis Points Above Total ( in millions) Protection Solutions Universal Life 0.00% - 1.50% $ — $ — $ — $ 6 $ 6 1.51% - 2.50% 61 69 462 430 1,022 Greater than 2.50% 3,515 627 — — 4,142 Total $ 3,576 $ 696 $ 462 $ 436 $ 5,170 Variable Universal Life 0.00% - 1.50% $ 16 $ 33 $ 53 $ 9 $ 111 1.51% - 2.50% 35 495 28 — 558 Greater than 2.50% 3,712 — 13 5 3,730 Total $ 3,763 $ 528 $ 94 $ 14 $ 4,399 Legacy Segment December 31, 2023 Product Range of Guaranteed Minimum Crediting Rate At Guaranteed Minimum 1 Basis Point - 50 Basis Points Above 51 Basis Points - 150 Basis Points Above Greater Than 150 Basis Points Above Total ( in millions) GMxB Legacy 0.00% - 1.50% $ 75 $ 16 $ — $ — $ 91 1.51% - 2.50% 21 — — — 21 Greater than 2.50% 461 — — — 461 Total $ 557 $ 16 $ — $ — $ 573 Individual Retirement GMxB Core 0.00% - 1.50% $ 13 $ 192 $ — $ — $ 205 1.51% - 2.50% 13 — — — 13 Greater than 2.50% 55 — — — 55 Total $ 81 $ 192 $ — $ — $ 273 EQUI-VEST Individual 0.00% - 1.50% $ 49 $ 218 $ — $ — $ 267 1.51% - 2.50% 43 — — — 43 Greater than 2.50% 2,011 — — — 2,011 Total $ 2,103 $ 218 $ — $ — $ 2,321 SCS Products with either a fixed rate or no guaranteed minimum N/A N/A N/A N/A N/A Group Retirement EQUI-VEST Group 0.00% - 1.50% $ 772 $ 2,338 $ 36 $ 315 $ 3,461 1.51% - 2.50% 345 — — — 345 Greater than 2.50% 6,610 — — — 6,610 Total $ 7,727 $ 2,338 $ 36 $ 315 $ 10,416 Momentum 0.00% - 1.50% $ — $ 12 $ 330 $ 53 $ 395 1.51% - 2.50% 138 1 — — 139 Greater than 2.50% 68 — 5 — 73 Total $ 206 $ 13 $ 335 $ 53 $ 607 Separate Account - Summary The following table reconciles the Separate Account liabilities to the Separate Account liability balance in the consolidated balance sheets: March 31, 2024 December 31, 2023 (in millions) Separate Account Reconciliation Protection Solutions Variable Universal Life $ 17,007 $ 15,821 Legacy Segment GMxB Legacy 34,860 33,794 Individual Retirement GMxB Core 30,820 29,829 EQUI-VEST Individual 4,826 4,582 Investment Edge 4,524 4,275 Group Retirement EQUI-VEST Group 29,018 26,959 Momentum 4,706 4,421 Other (1) 7,974 7,570 Total $ 133,735 $ 127,251 ______________ (1) Primarily reflects Corporate and Other products and Group Retirement products including Association and Group Retirement Other. The following table presents the balances of and changes in Separate Account liabilities: Three Months Ended March 31, 2024 Protection Solutions Legacy Individual Retirement Group Retirement VUL GMxB Legacy GMxB Core EQUI-VEST Individual Investment Edge EQUI-VEST Group Momentum (in millions) Balance, beginning of period $ 15,821 $ 33,794 $ 29,829 $ 4,582 $ 4,275 $ 26,959 $ 4,421 Premiums and deposits 306 54 504 18 310 565 181 Policy charges (143) (168) (115) (1) — (4) (6) Surrenders and withdrawals (142) (812) (820) (129) (135) (542) (208) Benefit payments (16) (196) (78) (15) (5) (17) (4) Investment performance (1) 1,229 2,189 1,442 373 258 2,138 314 Net transfers from (to) General Account (48) (1) 58 (2) (179) (81) 8 Other charges — — — — — — — Balance, end of period $ 17,007 $ 34,860 $ 30,820 $ 4,826 $ 4,524 $ 29,018 $ 4,706 Cash surrender value $ 16,648 $ 34,595 $ 29,979 $ 4,792 $ 4,437 $ 28,733 $ 4,699 _____________ (1) Investment performance is reflected net of M&E fees. Three Months Ended March 31, 2023 Protection Solutions Legacy Individual Retirement Group Retirement VUL GMxB Legacy GMxB Core EQUI-VEST Individual Investment Edge EQUI-VEST Group Momentum (in millions) Balance, beginning of period $ 13,187 $ 32,616 $ 27,772 $ 4,161 $ 3,798 $ 22,393 $ 3,885 Premiums and deposits 287 65 256 26 253 531 178 Policy charges (137) (178) (115) (1) — (4) (5) Surrenders and withdrawals (117) (660) (559) (100) (95) (359) (157) Benefit payments (24) (192) (56) (14) (12) (15) (3) Investment performance (1) 843 1,808 1,202 269 175 1,438 235 Net transfers from (to) General Account 45 — 49 (3) (140) (69) 9 Other charges — — — 4 — 25 — Balance, end of period $ 14,084 $ 33,459 $ 28,549 $ 4,342 $ 3,979 $ 23,940 $ 4,142 Cash surrender value $ 13,755 $ 33,181 $ 27,680 $ 4,310 $ 3,885 $ 23,702 $ 4,136 ______________ (1) Investment performance is reflected net of M&E fees. The following table presents the aggregate fair value of Separate Account assets by major asset category: March 31, 2024 Protection Solutions Individual Retirement Group Retirement Corp & Other Legacy Segment Total (in millions) Asset Type Debt securities $ 46 $ 1 $ 20 $ 6 $ — $ 73 Common Stock 64 35 450 1,713 — 2,262 Mutual Funds 17,419 41,755 35,235 688 34,951 130,048 Bonds and Notes 91 3 1 1,257 — 1,352 Total $ 17,620 $ 41,794 $ 35,706 $ 3,664 $ 34,951 $ 133,735 December 31, 2023 Protection Solutions Individual Retirement Group Retirement Corp & Other Legacy Segment Total (in millions) Asset Type Debt securities $ 48 $ 1 $ 21 $ 6 $ — $ 76 Common Stock 65 34 447 1,667 — 2,213 Mutual Funds 16,199 40,113 32,780 689 33,802 123,583 Bonds and Notes 91 4 1 1,283 — 1,379 Total $ 16,403 $ 40,152 $ 33,249 $ 3,645 $ 33,802 $ 127,251 |
EMPLOYEE BENEFIT PLANS
EMPLOYEE BENEFIT PLANS | 3 Months Ended |
Mar. 31, 2024 | |
Retirement Benefits [Abstract] | |
EMPLOYEE BENEFIT PLANS | EMPLOYEE BENEFIT PLANS Pension Plans Holdings and Equitable Financial Retirement Plans Holdings sponsors the MONY Life Retirement Income Security Plan for Employees and Equitable Financial sponsors the Equitable Retirement Plan (the “Equitable Financial QP”), both of which are frozen qualified defined benefit plans covering eligible employees and financial professionals. These pension plans are non-contributory, and their benefits are generally based on a cash balance formula and/or, for certain participants, years of service and average earnings over a specified period. Holdings and Equitable Financial also sponsor certain nonqualified defined benefit plans, including the Equitable Excess Retirement Plan, that provide retirement benefits in excess of the amount permitted under the tax law for the qualified plans. Holdings has assumed primary liability for both plans. Equitable Financial remains secondarily liable for its obligations under the Equitable Financial QP and would recognize such liability in the event Holdings does not perform. AB Retirement Plans AB maintains a qualified, non-contributory, defined benefit retirement plan covering current and former employees who were employed by AB in the United States prior to October 2, 2000 (the “AB Plan”). Benefits under the AB Plan are based on years of credited service, average final base salary, and primary Social Security benefits. Service and compensation after December 31, 2008 are not taken into account in determining participants’ retirement benefits. Net Periodic Pension Expense Components of net periodic pension expense for the Company’s plans were as follows: Three Months Ended March 31, 2024 2023 (in millions) Service cost $ 2 $ 2 Interest cost 30 31 Expected return on assets (37) (39) Prior period service cost amortization (1) (1) Actuarial (gain) loss — — Net amortization 14 9 Net Periodic Pension Expense $ 8 $ 2 |
INCOME TAXES
INCOME TAXES | 3 Months Ended |
Mar. 31, 2024 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES Income tax expense for the three months ended March 31, 2024 and 2023 was computed using an estimated annual effective tax rate (“ETR”), with discrete items recognized in the period in which they occur. The estimated ETR is revised, as necessary, at the end of successive interim reporting periods. During the fourth quarter of 2022, the Company established a valuation allowance against its deferred tax asset related to unrealized capital losses in the available for sale securities portfolio. During the year ended December 31, 2023, management took actions to increase its available liquidity so that the Company has the ability and intent to hold the majority of securities in its available for sale portfolio to recovery. For liquidity and other purposes, the Company maintains a smaller pool of securities that it does not intend to hold to recovery. The Company maintains a valuation allowance against the deferred tax asset on available for sale securities that will not be held to recovery. For the three months ended March 31, 2024, the Company recorded an increase to the valuation allowance of $3 million due to changes in the value of unrealized losses in the available for sale portfolio that will not be held to recovery. This adjustment was recorded in other comprehensive income. A valuation allowance of $237 million remains against the portion of the deferred tax asset that is still not more-likely-than-not to be realized. The Company uses the aggregate portfolio approach related to the stranded or disproportionate income tax effects in accumulated other comprehensive income related to available for sale securities. Under this approach, the disproportionate tax effect remains intact as long as the investment portfolio remains. |
EQUITY
EQUITY | 3 Months Ended |
Mar. 31, 2024 | |
Equity [Abstract] | |
EQUITY | EQUITY Preferred Stock Preferred stock authorized, issued and outstanding was as follows: March 31, 2024 December 31, 2023 Series Shares Authorized Shares Shares Outstanding Shares Authorized Shares Shares Outstanding Series A 32,000 32,000 32,000 32,000 32,000 32,000 Series B 20,000 20,000 20,000 20,000 20,000 20,000 Series C 12,000 12,000 12,000 12,000 12,000 12,000 Total 64,000 64,000 64,000 64,000 64,000 64,000 Dividends declared per share were as follows: Three Months Ended March 31, 2024 2023 Series A dividends declared $ 328 $ 328 Series B dividends declared $ — $ — Series C dividends declared $ 269 $ 269 Common Stock Dividends declared per share of common stock were as follows: Three Months Ended March 31, 2024 2023 Dividends declared $ 0.22 $ 0.20 Share Repurchase On February 9, 2022, the Company’s Board of Directors authorized a new $1.2 billion share repurchase program. Under this program, the Company may, from time to time purchase shares of its common stock through various means. The Company may choose to suspend or discontinue the repurchase program at any time. The repurchase program does not obligate the Company to purchase any particular number of shares. On February 9, 2023, the Company’s Board of Directors authorized a new $700 million share repurchase program. Under this program, the Company may, from time to time, purchase shares of its common stock through various means. The Company may choose to suspend or discontinue the repurchase program at any time. The repurchase program does not obligate the Company to purchase any particular number of shares. As of March 31, 2024, Holdings had authorized capacity of approximately $1,203 million remaining in its share repurchase program. Holdings repurchased a total of 7.5 million shares of its common stock at an average price of $33.86 through open market repurchases, ASRs and privately negotiated transactions for the three months ended March 31, 2024, respectively and repurchased a total of 7.3 million shares of its common stock at an average price of $29.16 through open market repurchases, ASRs and privately negotiated transactions for the three months ended March 31, 2023, respectively. During the three months ended March 31, 2024, Holdings repurchased 4.3 million shares, respectively, of its common stock through open market repurchases. During the three months ended March 31, 2023, Holdings repurchased 4.5 million shares, respectively, of its common stock through open market repurchases. In March 2024 Holdings entered into an ASR with a third-party financial institution to repurchase an aggregate of $50 million of Holdings’ common stock, Pursuant to the ASR, Holdings made a pre-payment of $50 million and received initial delivery of 1.0 million Holdings’ shares. The ASR terminated in April 2024, at which time an additional 235,302 shares of common stock were received. In December 2023, Holdings established an obligation to enter into an ASR with a third-party financial institution to repurchase an aggregate of $95 million of Holdings’ common stock. Pursuant to the ASR, on January 4, 2024, Holdings made a pre-payment of $95 million and received initial delivery of 2.3 million shares. The ASR terminated in January 2024, at which time an additional 625,040 shares of common stock were received. Accumulated Other Comprehensive Income (Loss) AOCI represents cumulative gains (losses) on items that are not reflected in net income (loss). The balances as of March 31, 2024 and December 31, 2023 follow: March 31, 2024 December 31, 2023 (in millions) Unrealized gains (losses) on investments $ (7,183) $ (6,638) Market risk benefits - instrument-specific credit risk component (601) (633) Liability for future policy benefits - current discount rate component 306 182 Defined benefit pension plans (645) (652) Foreign currency translation adjustments (87) (76) Total accumulated other comprehensive income (loss) (8,210) (7,817) Less: Accumulated other comprehensive income (loss) attributable to noncontrolling interest (44) (40) Accumulated other comprehensive income (loss) attributable to Holdings $ (8,166) $ (7,777) The components of OCI, net of taxes are as three months ended March 31, 2024 and 2023 follow: Three Months Ended March 31, 2024 2023 (in millions) Change in net unrealized gains (losses) on investments: Net unrealized gains (losses) arising during the period $ (543) $ 1,571 (Gains) losses reclassified into net income (loss) during the period (1) 21 63 Net unrealized gains (losses) on investments (522) 1,634 Adjustments for policyholders’ liabilities, DAC, insurance liability loss recognition and other 9 (8) Change in unrealized gains (losses), net of adjustments (net of deferred income tax expense (benefit) of $(133) and $341) (513) 1,626 Change in LFPB discount rate and MRB credit risk, net of tax Market risk benefits - changes in instrument-specific credit risk (net of deferred income tax expense (benefit) of $7 and $249) 25 938 Liability for future policy benefits - changes in current discount rate (net of deferred income tax expense (benefit) of $26 and $(30) ) 98 (112) Change in defined benefit plans: Reclassification to Net income (loss) of amortization of net prior service credit included in net periodic cost 8 20 Change in defined benefit plans (net of deferred income tax expense (benefit) of $(2), and $(6)) 8 20 Foreign currency translation adjustments: Foreign currency translation gains (losses) arising during the period (11) 6 Foreign currency translation adjustment (11) 6 Total other comprehensive income (loss), net of income taxes (393) 2,478 Less: Other comprehensive income (loss) attributable to noncontrolling interest (4) 2 Other comprehensive income (loss) attributable to Holdings $ (389) $ 2,476 ______________ (1) See “Reclassification adjustment” in Note 3 of the Notes to these Consolidated Financial Statements. Reclassification amounts presented net of income tax expense (benefit) of $(5) million and $(17) million for the three months ended March 31, 2024 and 2023, respectively. Investment gains and losses reclassified from AOCI to net income (loss) primarily consist of realized gains (losses) on sales and credit losses of AFS securities and are included in total investment gains (losses), net on the consolidated statements of income (loss). Amounts reclassified from AOCI to net income (loss) as related to defined benefit plans primarily consist of amortization of net (gains) losses and net prior service cost (credit) recognized as a component of net periodic cost and reported in compensation and benefits in the consolidated statements of income (loss). Amounts presented in the table above are net of tax. |
REDEEMABLE NONCONTROLLING INTER
REDEEMABLE NONCONTROLLING INTEREST | 3 Months Ended |
Mar. 31, 2024 | |
Noncontrolling Interest [Abstract] | |
REDEEMABLE NONCONTROLLING INTEREST | REDEEMABLE NONCONTROLLING INTEREST The changes in the components of redeemable noncontrolling interests were as follows: Three Months Ended March 31, 2024 2023 (in millions) Balance, beginning of period $ 770 $ 455 Net earnings (loss) attributable to redeemable noncontrolling interests 18 12 Purchase/change of redeemable noncontrolling interests 203 146 Balance, end of period $ 991 $ 613 |
COMMITMENTS AND CONTINGENT LIAB
COMMITMENTS AND CONTINGENT LIABILITIES | 3 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
COMMITMENTS AND CONTINGENT LIABILITIES | COMMITMENTS AND CONTINGENT LIABILITIES Litigation and Regulatory Matters Litigation, regulatory and other loss contingencies arise in the ordinary course of the Company’s activities as a diversified financial services firm. The Company is a defendant in a number of litigation matters arising from the conduct of its business. In some of these matters, claimants seek to recover very large or indeterminate amounts, including compensatory, punitive, treble and exemplary damages. Modern pleading practice permits considerable variation in the assertion of monetary damages and other relief. Claimants are not always required to specify the monetary damages they seek, or they may be required only to state an amount sufficient to meet a court’s jurisdictional requirements. Moreover, some jurisdictions allow claimants to allege monetary damages that far exceed any reasonably possible verdict. The variability in pleading requirements and past experience demonstrates that the monetary and other relief that may be requested in a lawsuit or claim often bears little relevance to the merits or potential value of a claim. Litigation against the Company includes a variety of claims including, among other things, insurers’ sales practices, alleged agent misconduct, alleged failure to properly supervise agents, contract administration, product design, features and accompanying disclosure, COI increases, payments of death benefits and the reporting and escheatment of unclaimed property, alleged breach of fiduciary duties, alleged mismanagement of client funds and other matters. The outcome of a litigation or regulatory matter is difficult to predict, and the amount or range of potential losses associated with these or other loss contingencies requires significant management judgment. It is not possible to predict the ultimate outcome or to provide reasonably possible losses or ranges of losses for all pending regulatory matters, litigation and other loss contingencies. While it is possible that an adverse outcome in certain cases could have a material adverse effect upon the Company’s financial position, based on information currently known, management believes that neither the outcome of pending litigation and regulatory matters, nor potential liabilities associated with other loss contingencies, are likely to have such an effect. However, given the large and indeterminate amounts sought in certain litigation and the inherent unpredictability of all such matters, it is possible that an adverse outcome in certain of the Company’s litigation or regulatory matters, or liabilities arising from other loss contingencies, could, from time to time, have a material adverse effect upon the Company’s results of operations or cash flows in a particular quarterly or annual period. For some matters, the Company is able to estimate a range of loss. For such matters in which a loss is probable, an accrual has been made. For matters where the Company believes a loss is reasonably possible, but not probable, no accrual is required. For matters for which an accrual has been made, but there remains a reasonably possible range of loss in excess of the amounts accrued or for matters where no accrual is required, the Company develops an estimate of the unaccrued amounts of the reasonably possible range of losses. As of March 31, 2024, the Company estimates the aggregate range of reasonably possible losses, in excess of any amounts accrued for these matters as of such date, to be up to approximately $100 million. For other matters, the Company is currently not able to estimate the reasonably possible loss or range of loss. The Company is often unable to estimate the possible loss or range of loss until developments in such matters have provided sufficient information to support an assessment of the range of possible loss, such as quantification of a damage demand from plaintiffs, discovery from plaintiffs and other parties, investigation of factual allegations, rulings by a court on motions or appeals, analysis by experts and the progress of settlement discussions. On a quarterly and annual basis, the Company reviews relevant information with respect to litigation and regulatory contingencies and updates the Company’s accruals, disclosures and reasonably possible losses or ranges of loss based on such reviews. In February 2016, a lawsuit was filed in the Southern District of New York entitled Brach Family Foundation, Inc. v. AXA Equitable Life Insurance Company. This lawsuit is a putative class action brought on behalf of all owners of UL policies subject to Equitable Financial’s COI rate increase. In early 2016, Equitable Financial raised COI rates for certain UL policies issued between 2004 and 2008, which had both issue ages 70 and above and a current face value amount of $1 million and above. A second putative class action was filed in the District of Arizona in 2017 and consolidated with the Brach matter in federal court in New York. The consolidated amended class action complaint alleged the following claims: breach of contract; misrepresentations in violation of Section 4226 of the New York Insurance Law; violations of New York General Business Law Section 349; and violations of the California Unfair Competition Law, and the California Elder Abuse Statute. Plaintiffs sought: (a) compensatory damages, costs, and, pre- and post-judgment interest; (b) with respect to their claim concerning Section 4226, a penalty in the amount of premiums paid by the plaintiffs and the putative class; and (c) injunctive relief and attorneys’ fees in connection with their statutory claims. In August 2020, the federal district court issued a decision certifying nationwide breach of contract and Section 4226 classes, and a New York State Section 349 class. Owners of a substantial number of policies opted out of the Brach class action. Most have settled pre-litigation, but a minority of opt-out policies are not yet the subject of litigation. Others filed suit previously, including three pending individual federal actions that were coordinated with the Brach action and contained similar allegations. In May 2023, the Brach class action and Equitable Financial informed the federal district court that they had mutually agreed to settle the class action, and in October 2023, the federal district court entered an order of final approval of the settlement agreement. Equitable Financial is fully accrued for the class settlement, which will have no impact on earnings or distributable cash projections. In October 2023, Equitable Financial and the three plaintiffs with individual federal actions coordinated with the Brach action informed the court that they had reached a settlement, and those actions were dismissed. Equitable Financial is likewise fully accrued for those individual settlements, which will have no impact on earnings or distributable cash projections. Equitable Financial has settled other actual and threatened litigations challenging the COI increase by individual policy owners and entities. Finally, one action is also pending against Equitable Financial in New York state court. In July 2022, the trial court in Hobish v. AXA Equitable Life Insurance Company, granted in significant part Equitable Financial’s motion for summary judgment and denied plaintiff’s cross motion. That plaintiff appealed but the appellate court affirmed the trial court’s decision. In March 2024, the intermediate appellate court granted plaintiff’s motion for leave to appeal to the state’s highest appellate court. Equitable Financial is vigorously defending each of these matters. As with other financial services companies, Equitable Financial periodically receives informal and formal requests for information from various state and federal governmental agencies and self-regulatory organizations in connection with inquiries and investigations of the products and practices of the Company or the financial services industry. It is the practice of the Company to cooperate fully in these matters. Obligations under Funding Agreements Pre-Capitalized Trust Securities (“P-Caps”) In April 2019, pursuant to separate Purchase Agreements among Holdings, Credit Suisse Securities (USA) LLC, as representative of the several initial purchasers, and the Trusts (as defined below), Pine Street Trust I, a Delaware statutory trust (the “2029 Trust”), completed the issuance and sale of 600,000 of its Pre-Capitalized Trust Securities redeemable February 15, 2029 (the “2029 P-Caps”) for an aggregate purchase price of $600 million and Pine Street Trust II, a Delaware statutory trust (the “2049 Trust” and, together with the 2029 Trust, the “Trusts”), completed the issuance and sale of 400,000 of its Pre-Capitalized Trust Securities redeemable February 15, 2049 (the “2049 P-Caps” and, together with the 2029 P-Caps, the “P-Caps”) for an aggregate purchase price of $400 million in each case to qualified institutional buyers in reliance on Rule 144A that are also “qualified purchasers” for purposes of Section 3(c)(7) of the Investment Company Act of 1940, as amended. The P-Caps are an off-balance sheet contingent funding arrangement that, upon Holdings’ election, gives Holdings the right over a ten-year period (in the case of the 2029 Trust) or over a thirty-year period (in the case of the 2049 Trust) to issue senior notes to these Trusts. The Trusts each invested the proceeds from the sale of their P-Caps in separate portfolios of principal and/or interest strips of U.S. Treasury securities. In return, Holdings will pay a semi-annual facility fee to the 2029 Trust and 2049 Trust calculated at a rate of 2.125% and 2.715% per annum, respectively, which will be applied to the unexercised portion of the contingent funding arrangement and Holdings will reimburse the Trusts for certain expenses. The facility fees are recorded in other operating costs and expenses in the consolidated statements of income (loss). Federal Home Loan Bank (“FHLB”) As a member of the FHLB, Equitable Financial has access to collateralized borrowings. It also may issue funding agreements to the FHLB. Both the collateralized borrowings and funding agreements would require Equitable Financial to pledge qualified mortgage-backed assets and/or government securities as collateral. Equitable Financial issues short-term funding agreements to the FHLB and uses the funds for asset, liability, and cash management purposes. Equitable Financial issues long-term funding agreements to the FHLB and uses the funds for spread lending purposes. Entering into FHLB membership, borrowings and funding agreements requires the ownership of FHLB stock and the pledge of assets as collateral. Equitable Financial has purchased FHLB stock of $336 million and pledged collateral with a carrying value of $9.5 billion as of March 31, 2024. Funding agreements are reported in policyholders’ account balances in the consolidated balance sheets. For other instruments used for asset/liability and cash management purposes, see “Offsetting of Financial Assets and Liabilities and Derivative Instruments” included in Note 4 of the Notes to these Consolidated Financial Statements. The table below summarizes the Company’s activity of funding agreements with the FHLB. Change in FHLB Funding Agreements during the Three Months Ended March 31, 2024 Outstanding Balance at December 31, 2023 Issued During the Period Repaid During the Period Long-term Agreements Maturing Within One Year Long-term Agreements Maturing Within Five Years Outstanding Balance at March 31, 2024 (in millions) Short-term funding agreements: Due in one year or less $ 6,168 $ 15,193 $ (15,643) $ — $ — $ 5,718 Long-term funding agreements: Due in years two through five 799 — — — — 799 Due in more than five years 648 — — — — 648 Total long-term funding agreements 1,447 — — — — 1,447 Total funding agreements (1) $ 7,615 $ 15,193 $ (15,643) $ — $ — $ 7,165 _____________ (1) The $3 million and $3 million difference between the funding agreements carrying value shown in fair value table for March 31, 2024 and December 31, 2023, respectively, reflects the remaining amortization of a hedge implemented and closed, which locked in the funding agreements borrowing rates. Funding Agreement-Backed Notes Program (“FABN”) Under the FABN program, Equitable Financial may issue funding agreements in U.S. dollar or other foreign currencies to a Delaware special purpose statutory trust (the “Trust”) in exchange for the proceeds from issuances of fixed and floating rate medium-term marketable notes issued by the Trust from time to time (the “Trust Notes”). The funding agreements have matching interest, maturity and currency payment terms to the applicable Trust Notes. The Company hedges the foreign currency exposure of foreign currency denominated funding agreements using cross currency swaps as discussed in Note 4 of the Notes to these Consolidated Financial Statements. As of March 31, 2024, the maximum aggregate principal amount of Trust Notes permitted to be outstanding at any one time is $10.0 billion. Funding agreements issued to the Trust, including any foreign currency transaction adjustments, are reported in policyholders’ account balances in the consolidated balance sheets. Foreign currency transaction adjustments to policyholder’s account balances are recognized in net income (loss) as an adjustment to interest credited to policyholders’ account balances and are offset in interest credited to policyholders’ account balances by a release of AOCI from deferred changes in fair value of designated and qualifying cross currency swap cash flow hedges. The table below summarizes Equitable Financial’s activity of funding agreements under the FABN program. Change in FABN Funding Agreements during the Three Months Ended March 31, 2024 Outstanding Balance at December 31, 2023 Issued During the Period Repaid During the Period Long-term Agreements Maturing Within One Year Long-term Agreements Maturing Within Five Years Foreign Currency Transaction Adjustment Outstanding Balance at March 31, (in millions) Short-term funding agreements: Due in one year or less $ 1,000 $ — $ — $ — $ — $ — $ 1,000 Long-term funding agreements: Due in years two through five 4,984 — — — — (16) 4,968 Due in more than five years 300 — — — — — 300 Total long-term funding agreements 5,284 — — — — (16) 5,268 Total funding agreements (1) $ 6,284 $ — $ — $ — $ — $ (16) $ 6,268 _____________ (1) The $16 million and $17 million difference between the funding agreements notional value shown and carrying value table as of March 31, 2024 and December 31, 2023, respectively, reflects the remaining amortization of the issuance cost of the funding agreements and the foreign currency transaction adjustment. Funding Agreement-Backed Commercial Paper Program (“FABCP”) In May 2023, Equitable Financial and Equitable America established a FABCP program, pursuant to which a SPLLC may issue commercial paper and deposit the proceeds with Equitable Financial or Equitable America pursuant to a funding agreement issued by Equitable Financial or Equitable America to the SPLLC. The current maximum aggregate principal amount permitted to be outstanding at any one time under the FABCP program is $3.0 billion for Equitable Financial and $1.0 billion for Equitable America. As of March 31, 2024, Equitable Financial and Equitable America had $675 million and $0 million outstanding under the program, respectively. Credit Facilities For information regarding activity pertaining to our credit facilities arrangements, see Note 14 of the Notes to these Consolidated Financial Statements. Guarantees and Other Commitments The Company provides certain guarantees or commitments to affiliates and others. As of March 31, 2024, these arrangements include commitments by the Company to provide equity financing of $1.3 billion to certain limited partnerships and real estate joint ventures under certain conditions. Management believes the Company will not incur material losses as a result of these commitments. The Company had $17 million of undrawn letters of credit related to reinsurance as of March 31, 2024. The Company had $700 million of commitments under existing mortgage loan agreements as of March 31, 2024. The Company is the obligor under certain structured settlement agreements it had entered into with unaffiliated insurance companies and beneficiaries. To satisfy its obligations under these agreements, the Company owns single premium annuities issued by previously wholly-owned life insurance subsidiaries. The Company has directed payment under these annuities to be made directly to the beneficiaries under the structured settlement agreements. A contingent liability exists with respect to these agreements should the previously wholly-owned subsidiaries be unable to meet their obligations. Management believes the need for the Company to satisfy those obligations is remote. |
BUSINESS SEGMENT INFORMATION
BUSINESS SEGMENT INFORMATION | 3 Months Ended |
Mar. 31, 2024 | |
Segment Reporting [Abstract] | |
BUSINESS SEGMENT INFORMATION | BUSINESS SEGMENT INFORMATION As previously announced, effective January 1, 2023, our financial reporting presentation was revised to reflect the reorganization of the Company’s reportable segments to reflect how the Company’s chief operating decision maker now makes operating decisions and assesses performance. We now have six reportable segments. Prior period results have been revised in connection with updates to our reportable segments. The six reportable segments are: Individual Retirement, Group Retirement, Investment Management and Research, Protection Solutions, Wealth Management and Legacy. These segments reflect the manner by which the Company’s chief operating decision maker views and manages the business. A brief description of these segments follows: • The Individual Retirement segment offers a diverse suite of variable annuity products which are primarily sold to affluent and high net worth individuals saving for retirement or seeking retirement income. • The Group Retirement segment offers tax-deferred investment and retirement services or products to plans sponsored by educational entities, municipalities, and not-for-profit entities, as well as small and medium-sized businesses. • The Investment Management and Research segment provides diversified investment management, research, and related solutions globally to a broad range of clients through three main client channels - Institutional, Retail and Private Wealth - and distributes its institutional research products and solutions through Bernstein Research Services. • The Protection Solutions segment includes our life insurance and group employee benefits businesses. Our life insurance business offers a variety of VUL, UL and term life products to help affluent and high net worth individuals, as well as small and medium-sized business owners, with their wealth protection, wealth transfer and corporate needs. Our group employee benefits business offers a suite of life, and short- and long-term disability, dental and vision insurance products to small and medium-size businesses across the United States. • The Wealth Management segment offers discretionary and non-discretionary investment advisory accounts, financial planning and advice, life insurance, and annuity products through Equitable Advisors. • The Legacy segment primarily consists of the capital intensive fixed-rate GMxB business written in the Individual Retirement market prior to 2011. This business offered GMDB features in isolation or together with GMLB features. This business also historically offered variable annuities with four types of guaranteed living benefit riders: GMIB, GWBL/GMWB, and GMAB. Measurement Operating earnings (loss) is the financial measure which primarily focuses on the Company’s segments’ results of operations as well as the underlying profitability of the Company’s core business. By excluding items that can be distortive and unpredictable such as investment gains (losses) and investment income (loss) from derivative instruments, the Company believes operating earnings (loss) by segment enhances the understanding of the Company’s underlying drivers of profitability and trends in the Company’s segments. Operating earnings is calculated by adjusting each segment’s net income (loss) attributable to Holdings for the following items: • Items related to variable annuity product features, which include: (i) changes in the fair value of market risk benefits and purchased market risk benefits, including the related attributed fees and claims, offset by derivatives and other securities used to hedge the market risk benefits which result in residual net income volatility as the change in fair value of certain securities is reflected in OCI and due to our statutory capital hedge program; and (ii) market adjustments to deposit asset or liability accounts arising from reinsurance agreements which do not expose the reinsurer to a reasonable possibility of a significant loss from insurance risk; • Investment (gains) losses, which includes credit loss impairments of securities/investments, sales or disposals of securities/investments, realized capital gains/losses and valuation allowances; • Net actuarial (gains) losses, which includes actuarial gains and losses as a result of differences between actual and expected experience on pension plan assets or projected benefit obligation during a given period related to pension, other postretirement benefit obligations, and the one-time impact of the settlement of the defined benefit obligation; • Other adjustments, which primarily include restructuring costs related to severance and separation, lease write-offs related to non-recurring restructuring activities, COVID-19 related impacts, net derivative gains (losses) on certain Non-GMxB derivatives, net investment income from certain items including consolidated VIE investments, seed capital mark-to-market adjustments, unrealized gain/losses and realized capital gains/losses from sales or disposals of select securities, certain legal accruals; a bespoke deal to repurchase UL policies from one entity that had invested in numerous policies purchased in the life settlement market, which disposed of the risk of additional COI litigation by that entity related to those UL policies, impact of the annual actuarial assumption updates attributable to LFPB; and • Income tax expense (benefit) related to the above items and non-recurring tax items, which includes the effect of uncertain tax positions for a given audit period and changes to the deferred tax valuation allowance. The General Account investment portfolio is used to support the insurance and annuity liabilities of our Individual Retirement, Group Retirement, Protection Solutions and Legacy business segments. In the fourth quarter of 2023, the Company updated its operating earnings measure to exclude the impact of realized amounts related to equity classified instruments. The recognition of the realized capital gains and losses from investments in current net investment income is generally considered distortive and not reflective of the ongoing core business activities of the segments. The presentation of operating earnings in prior periods was not revised to reflect this modification. The impact to operating earnings was immaterial for the three months ended March 31, 2023. In the first quarter of 2024, the Company began allocating to its business segments collateral expense resulting from a designated rate to be paid on the collateral held back to counterparties. The new segment allocation methodology for collateral expense is based on the income earned on cash equivalents held in the surplus segments and income earned in portfolios backing collateral expenses, such that the collateral expense would be allocated to the segments up to that amount. Any remaining amount is included within Corporate and Other. This expense was previously recorded in Corporate and Other with no allocation to our business segments in prior reporting periods. The presentation of operating earnings in prior periods was not revised to reflect this modification, however, the Company estimated that allocating collateral expense to the segments for the twelve months ended December 31, 2023 and 2022, respectively, would have resulted in a decrease to operating earnings of $4.0 million and $0.8 million for Individual Retirement, $7.7 million and $1.4 million for Group Retirement, $21.9 million and $2.5 million for Protection Solutions, $4.2 million and $1.0 million for Legacy, and an increase of $37.8 million and $5.7 million for Corporate and Other. The impact to operating earnings for each segment during the quarters of 2023 was not material. Total Company operating earnings were not impacted. Revenues derived from any customer did not exceed 10% of revenues for the three months ended March 31, 2024 and 2023. The Company accounts for inter-segment sales and transfers as if the sales or transfers were to third parties, that is, at current market prices. The table below presents operating earnings (loss) by segment and Corporate and Other and a reconciliation to net income (loss) attributable to Holdings: Three Months Ended March 31, 2024 2023 (in millions) Net income (loss) attributable to Holdings $ 114 $ 177 Adjustments related to: Variable annuity product features 319 861 Investment (gains) losses 39 87 Net actuarial (gains) losses related to pension and other postretirement benefit obligations 17 9 Other adjustments (1) 91 45 Income tax expense (benefit) related to above adjustments (98) (210) Non-recurring tax items (2) 8 (605) Non-GAAP Operating Earnings $ 490 $ 364 Three Months Ended March 31, 2024 2023 (in millions) Operating earnings (loss) by segment: Individual Retirement $ 228 $ 200 Group Retirement $ 126 $ 89 Investment Management and Research $ 106 $ 99 Protection Solutions $ 41 $ (35) Wealth Management $ 43 $ 32 Legacy $ 51 $ 60 Corporate and Other (3) $ (105) $ (81) ______________ (1) Includes certain gross legal expenses related to the cost of insurance litigation of $106 million for the three months ended March 31, 2024. (2) For the three months ended March, 31 2024, non-recurring tax items reflects the effect of uncertain tax positions for a given audit period and for the three months ended March 31, 2023 primarily includes a decrease of the deferred tax valuation allowance of $614 million. (3) Includes interest expense and financing fees of $56 million and $67 million for the three months ended March 31, 2024 and 2023, respectively. Segment revenues is a measure of the Company’s revenue by segment as adjusted to exclude certain items. The following table reconciles segment revenues to total revenues by excluding the following items: • Items related to variable annuity product features, which include certain changes in the fair value of the derivatives and other securities we use to hedge these features and changes in the fair value of the embedded derivatives reflected within the net derivative results of variable annuity product features; • Investment (gains) losses, which includes credit loss impairments of securities/investments, sales or disposals of securities/investments, realized capital gains/losses and valuation allowances; • Other adjustments, which primarily includes net derivative gains (losses) on certain Non-GMxB derivatives and net investment income from certain items including consolidated VIE investments, seed capital mark-to-market adjustments and unrealized gain/losses associated with equity securities. The table below presents revenues by segment and Corporate and Other: Three Months Ended March 31, 2024 2023 (in millions) Segment revenues: Individual Retirement (1) $ 766 $ 588 Group Retirement (1) 292 237 Investment Management and Research (2) 1,093 1,009 Protection Solutions (1) 825 767 Wealth Management (3) 423 362 Legacy (1) 210 206 Corporate and Other (1) 246 281 Eliminations (216) (180) Adjustments related to: Variable annuity product features (319) (861) Investment gains (losses), net (39) (87) Other adjustments to segment revenues (1,051) 35 Total revenues $ 2,230 $ 2,357 ______________ (1) Includes investment expenses charged by AB of $36 million and $38 million for the three months ended March 31, 2024 and 2023, respectively, for services provided to the Company. (2) Inter-segment investment management and other fees of $42 million and $43 million for the three months ended March 31, 2024 and 2023, respectively, are included in segment revenues of the Investment Management and Research segment. (3) Inter-segment distribution fees of $200 million and $175 million for the three months ended March 31, 2024 and 2023, respectively, are included in segment revenues of the Wealth Management segment. Total assets by segment were as follows: March 31, 2024 December 31, 2023 (in millions) Total assets by segment: Individual Retirement $ 94,514 $ 90,805 Group Retirement 49,351 47,260 Investment Management and Research 11,276 11,088 Protection Solutions 40,102 38,933 Wealth Management 199 144 Legacy 49,711 49,487 Corporate and Other 40,424 39,097 Total assets $ 285,577 $ 276,814 |
INSURANCE STATUTORY FINANCIAL I
INSURANCE STATUTORY FINANCIAL INFORMATION | 3 Months Ended |
Mar. 31, 2024 | |
Insurance [Abstract] | |
INSURANCE STATUTORY FINANCIAL INFORMATION | INSURANCE STATUTORY FINANCIAL INFORMATION Prescribed and Permitted Accounting Practices As of March 31, 2024, the following five prescribed and permitted practices resulted in net income (loss) and capital and surplus that is different from the statutory surplus that would have been reported had NAIC statutory accounting practices been applied. Equitable Financial was granted a permitted practice by the NYDFS to apply SSAP 108, Derivatives Hedging Variable Annuity Guarantees on a retroactive basis from January 1, 2021 through June 30, 2021, after reflecting the impacts of our reinsurance transaction with Venerable. The permitted practice was amended to also permit Equitable Financial to adopt SSAP 108 prospectively as of July 1, 2021 and to consider the impact of both the interest rate derivatives and the General Account assets used to fully hedge the interest rate risk inherent in its variable annuity guarantees when determining the amount of the deferred asset or liability under SSAP 108. Application of the permitted practice partially mitigates the New York Insurance Regulation 213 (“Reg 213”) impact of the Venerable Transaction on Equitable Financial’s statutory capital and surplus and enables Equitable Financial to more effectively neutralize the impact of interest rates on its statutory surplus and to better align with our economic hedging program. The impact of applying this permitted practice relative to SSAP 108 as written was a decrease of approximately $32 million in statutory special surplus funds as of March 31, 2024. The Reinsurance Treaty reduced the amount of interest rate hedging needed at Equitable Financial going forward, affecting future deferrals, but leaves our historical SSAP 108 deferred amounts unchanged. The permitted practice also reset Equitable Financial’s unassigned surplus to zero as of June 30, 2021 to reflect the transformative nature of the Venerable Transaction. The NAIC Accounting Practices and Procedures manual (“NAIC SAP”) has been adopted as a component of prescribed or permitted practices by the State of New York. However, Reg 213 adopted in May of 2019 and as amended in February 2020 and March 2021, differs from the NAIC variable annuity reserve and capital framework. Reg 213 requires Equitable Financial to carry statutory basis reserves for its variable annuity contract obligations equal to the greater of those required under (i) the NAIC standard or (ii) a revised version of the NYDFS requirement in effect prior to the adoption of the first amendment for contracts issued prior to January 1, 2020, and for policies issued after that date a new standard that in current market conditions imposes more conservative reserving requirements for variable annuity contracts than the NAIC standard. The impact of the application of Reg 213 was a decrease of approximately $182 million in statutory surplus as of March 31, 2024 compared to statutory surplus under the NAIC variable annuity framework. Our hedging program is designed to hedge the economics of our insurance liabilities and largely offsets Reg 213 and NAIC framework reserve movements due to interest rates and equities. The NYDFS allows domestic insurance companies a five year phase-in provision for Reg 213 reserves. As of September 30, 2022, Equitable Financial’s Reg 213 reserves were 100% phased-in. As of March 31, 2024, given the prevailing market conditions and business mix, there are $173 million Reg 213 redundant reserves over the US RBC CTE 98 total asset requirement (“TAR”). During the fourth quarter 2020, Equitable Financial received approval from NYDFS for its proposed amended Plan of Operation for Separate Account No. 68 (“SA 68”) for our Structured Capital Strategies product and Separate Account No. 69 (“SA 69”) for our EQUI-VEST product Structured Investment Option, to change the accounting basis of these two non-insulated Separate Accounts from fair value to book value in accordance with Section 1414 of the Insurance Law to align with how we manage and measure our overall General Account asset portfolio. In order to facilitate this change and comply with Section 4240(a)(10), the Company also sought approval to amend the Plans to remove the requirement to comply with Section 4240(a)(5)(iii) and substitute it with a commitment to comply with Section 4240(a)(5)(i). Similarly, the Company updated the reserves section of each Plan to reflect the fact that Regulation 128 would no longer be applicable upon the change in accounting basis. We applied this change effective January 1, 2021. The impact of the application is an increase of approximately $1.8 billion in statutory surplus as of March 31, 2024. During 2022, Equitable America received approval from the Arizona Department of Insurance and Financial Institutions pursuant to A.R.S. 20-515 for Separate Account No. 68A (“SA 68A”) for our Structured Capital Strategies product, Separate Account No. 69A (“SA 69A”) for our EQUI-VEST product Structured Investment Option and Separate Account No. 71A (“SA 71A”) for our Investment Edge Structured Investment Option, to permit us to use book value as the accounting basis of these three non-insulated Separate Accounts instead of fair value in accordance with the NAIC Accounting and Practices and Procedures Manual to align with how we manage and measure our overall General Account asset portfolio. The impact of the application is a decrease of approximately $72 million in statutory surplus as of March 31, 2024. The Arizona Department of Insurance and Financial Institutions granted to Equitable America a permitted practice to deviate from SSAP No. 108 by applying special accounting treatment for specific derivatives hedging variable annuity benefits subject to fluctuations as a result of interest rate sensitivities. The permitted practice expands on SSAP No. 108 hedge accounting to include equity risks for the full scope of Variable Annuity (VA) contracts (i.e., not just the rider guarantees but for the VA total contract). The permitted practice allows Equitable America to adopt SSAP 108 retroactively from October 1, 2023 and applies to both directly held VA hedges as well as VA hedges in the Equitable America funds withheld asset that resulted from the Reinsurance Treaty. In the calculation of the amount of excess VA equity and interest rate derivative hedging gains gains/losses to defer (including Net investment income on our Equity Total Return Swaps), the permitted practice allows us to compare our total equity and interest derivatives gains and losses to 100% of our target liability change. Any hedge gain or loss deferrals will follow SSAP No. 108 amortization rules (i.e. 10-year straight line). |
EARNINGS PER COMMON SHARE
EARNINGS PER COMMON SHARE | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
EARNINGS PER COMMON SHARE | EARNINGS PER COMMON SHARE The following table presents a reconciliation of net income (loss) and weighted-average common shares used in calculating basic and diluted earnings per common share: Three Months Ended March 31, 2024 2023 (in millions, except per share data) Weighted-average common shares outstanding: Weighted-average common shares outstanding — basic 330.2 361.9 Effect of dilutive potential common shares: Employee share awards (1) 2.5 2.2 Weighted-average common shares outstanding — diluted 332.7 364.1 Net income (loss): Net income (loss) $ 217 $ 266 Less: Net income (loss) attributable to the noncontrolling interest 103 89 Net income (loss) attributable to Holdings 114 177 Less: Preferred stock dividends 14 14 Net income (loss) available to Holdings’ common shareholders $ 100 $ 163 Earnings per common share: Basic $ 0.30 $ 0.45 Diluted $ 0.30 $ 0.45 ______________ (1) Calculated using the treasury stock method. For the three months ended March 31, 2024 and 2023, 3.0 million and 2.5 million, respectively, of outstanding stock awards, were not included in the computation of diluted earnings per share because their effect was anti-dilutive. |
HELD-FOR-SALE
HELD-FOR-SALE | 3 Months Ended |
Mar. 31, 2024 | |
Discontinued Operations and Disposal Groups [Abstract] | |
HELD-FOR-SALE | HELD-FOR-SALE Assets and liabilities related to the business classified as HFS are separately reported in the consolidated balance sheets beginning in the period in which the business is classified as HFS. AB Bernstein Research Services On November 22, 2022, AB and Société Générale (“SocGen”), a leading European bank, announced plans to form a joint venture combining their respective cash equities and research businesses (the “Initial Plan”). In the Initial Plan, AB would own a 49% interest in the joint venture and Société Générale would own a 51% interest in the global joint venture, with an option to reach 100% ownership after five years. During the fourth quarter of 2023, AB and SocGen negotiated a revised plan (the “Revised Plan”) under which SocGen would own a majority of the joint venture outside of North America and AB would own a majority of the joint venture within North America (the “NA JV”, and together the “JVs”). Subsequently, on April 1, 2024, the transaction closed. As a result of the greater value of the business AB contributed to the JVs, SocGen paid AB $304 million in cash to equalize the value of the contributions by AB and SocGen to the JVs. The cash payment of $304 million included consideration for an option, exercisable by AB during the next five years, that would result in SocGen having a 51% ownership of the NA JV and bringing the transaction ownership terms back in line with the Initial Plan. AB’s option may only be exercised upon receipt of appropriate regulatory approvals. Under the terms of the transaction and assuming AB exercises its option as noted above, SocGen would increase its ownership to a majority interest of the NA JV, without further consideration payable. AB has an additional option to sell its ownership interests in the JVs to SocGen after five years, at the fair market value of AB’s interests in the JVs, also assuming receipt of appropriate regulatory approvals. The ultimate objective of SocGen and AB is for SocGen to eventually own 100% of the JVs after five years. The $304 million cash payment was received on March 27, 2024 in advance of closing, due to certain banking holidays in the U.S. and internationally and was used to pay down debt under AB’s existing credit facilities. AB recorded a liability of $304 million in accounts payable and accrued expenses on its condensed consolidated statement of financial condition as of March 31, 2024. AB will deconsolidate the BRS business and retain the Bernstein Private Wealth Management business within its existing U.S. broker dealer Sanford C. Bernstein & Co., LLC. The structure of the Board of Directors of the NA JV, which includes two independent directors, precludes AB’s control of the Board thereby permitting deconsolidation of the BRS business. Going forward, AB will maintain an equity method investment in the JVs. Accordingly, the assets and liabilities of AB’s research services business recorded at fair value, less cost to sell have been classified as held-for-sale in our Consolidated Financial Statements. As a result of classifying these assets as held-for-sale, AB recognized a non-cash valuation adjustment of $6 million and$7 million on the consolidated statement of income, to recognize the net carrying value at lower of cost or fair value, less costs to sell for the three months ended March 31, 2024 and December 31, 2023, respectively. Approximately $7 million in costs to sell have been paid as of March 31, 2024. The following table summarizes the assets and liabilities classified as held-for-sale on the Company’s consolidated balance sheets: March 31, December 31, 2024 (1) 2023 (1) (in millions) Cash and cash equivalents $ 319 $ 153 Broker-dealer related receivables 69 107 Trading securities, at fair value 13 17 Goodwill and other intangible assets ,net 164 164 Other assets (2) 180 124 Total assets held-for-sale $ 745 $ 565 Broker-dealer related payables $ 38 $ 39 Customers related payables 20 17 Other liabilities 181 97 Total liabilities held-for-sale $ 239 $ 153 ______________ (1) The assets and liabilities classified as held-for-sale are reported within our Investment Management & Research segment. (2) Other assets includes a valuation adjustment decrease of $6 million and $7 million, as of March 31, 2024 and December 31, 2023, respectively. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 3 Months Ended |
Mar. 31, 2024 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | SUBSEQUENT EVENTSIn March 2024, Holdings established an obligation to enter into an ASR with a third-party financial institution to repurchase an aggregate of $80 million of Holdings’ common stock. Pursuant to the ASR, on April 3, 2024, Holdings made a prepayment of $80 million and received initial delivery of 1.7 million shares. The ASR terminated in May 2024, at which time an additional 466,923 shares of common stock were received. |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Pay vs Performance Disclosure | ||
Net income (loss) | $ 114 | $ 177 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Mar. 31, 2024 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |
SIGNIFICANT ACCOUNTING POLICI_2
SIGNIFICANT ACCOUNTING POLICIES (Policies) | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Principles of Consolidation | Basis of Presentation and Principles of Consolidation The unaudited interim consolidated financial statements (the “consolidated financial statements”) have been prepared in conformity with accounting principles generally accepted in the United States of America (“U.S. GAAP” or “GAAP”) on a basis consistent with reporting interim financial information in accordance with instructions to the Form 10-Q and Article 10 of Regulation S-X of the Securities and Exchange Commission (“SEC”). In the opinion of management, all adjustments necessary for a fair statement of the financial position and results of operations have been made. All such adjustments are of a normal, recurring nature. Interim results are not necessarily indicative of the results that may be expected for the full year. These financial statements should be read in conjunction with the Company’s consolidated financial statements included in the Annual Report on Form 10-K for the year ended December 31, 2023. The accompanying unaudited consolidated financial statements present the consolidated results of operations, financial condition, and cash flows of the Company and its subsidiaries and those investment companies, partnerships and joint ventures in which the Company has control and a majority economic interest as well as those variable interest entities (“VIEs”) that meet the requirements for consolidation. All significant intercompany transactions and balances have been eliminated in consolidation. The terms “first quarter 2024” and “first quarter 2023” refer to the three months ended March 31, 2024 and 2023, respectively. The terms “first three months of 2024” and “first three months of 2023” refer to the three months ended March 31, 2024 and 2023, respectively. |
Future Adoption of New Accounting Pronouncements | Future Adoption of New Accounting Pronouncements Description Effective Date and Method of Adoption Effect on the Financial Statement or Other Significant Matters ASU 2023-07: Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures This ASU provides improvements to reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses. In addition, the amendments enhance interim disclosure requirements, clarify circumstances in which an entity can disclose multiple measures of segment profit or loss, provide new segment disclosure requirements for entities with a single reportable segment and contain other disclosure requirements. The ASU is effective for fiscal years beginning after December 15, 2023, and interim periods in fiscal years beginning after December 15, 2024. A calendar year public entity will adopt the ASU for its 2024 Form 10-K. The ASU should be adopted retrospectively to all periods presented in the financial statements unless it is impracticable to do so. The Company is currently assessing the additional required disclosures under the ASU including providing new segment disclosure requirements for entities with a single reportable segment. Management is evaluating the impact the adoption of this guidance will have on the Company’s consolidated financial statements. ASU 2023-09: Income Taxes (Topic 740): Improvements to Income Tax Disclosures The ASU enhanced existing income tax disclosures primarily related to the rate reconciliation and income taxes paid information. With regard to the improvements to disclosures of rate reconciliation, a public business entity is required on an annual basis to (1) disclose specific categories in the rate reconciliation and (2) provide additional information for reconciling items that meet a quantitative threshold. Similarly, a public entity is required to provide the amount of income taxes paid (net of refunds received) disaggregated by (1) federal, state, and foreign taxes and by(2) individual jurisdictions in which income taxes paid (net of refunds received) is equal to or greater than 5 percent of total income taxes paid (net of refunds received). The ASU also includes certain other amendments to improve the effectiveness of income tax disclosures, for example, an entity is required to provide (1) pretax income (or loss) from continuing operations disaggregated between domestic and foreign, and (2) income tax expense (or benefit) from continuing operations disaggregated by federal, state, and foreign. The ASU will be effective for annual periods beginning after December 15, 2024. Entities are required to apply the ASU on a prospective basis. The adoption of ASU 2023-09 is not expected to materially impact the Company’s financial position, results of operation, or cash flows. Description Effective Date and Method of Adoption Effect on the Financial Statement or Other Significant Matters SEC Release Nos. 33-11275; 34-99678, The Enhancement and Standardization of Climate-Related Disclosures for Investors The SEC adopted rules requiring registrants to disclose climate-related information in registration statements and annual reports. The new rules include disclosure of material climate-related risks, including descriptions of board oversight and risk management activities. the material impacts of these risks on a registrant’s strategy, business model and outlook and any material climate-related targets or goals. In addition, registrants will need to quantify certain effects of severe weather events and other natural conditions in a note to their audited financial statements. In April 2024, citing litigation challenging the rules that commenced immediately after they were issued, the SEC issued an order staying applicability of the rules while judicial review proceeds. Financial statement and all other disclosures are required at the beginning of the fiscal year 2025 with disclosures about material expenditure and impact required at the beginning of the fiscal year 2026. Disclosures are provided prospectively upon adoption. Scope 1 and Scope 2 Greenhouse gas emissions are required in 2026 with limited assurance in 2029 and reasonable assurance in 2033. Disclosures are provided prospectively upon adoption. The Company is currently assessing the additional required disclosures under the SEC Release. Management is evaluating the impact of the adoption of this guidance will have on the Company’s consolidated financial statements. |
Accounting and Consolidation of VIEs | Accounting and Consolidation of VIEs For all new investment products and entities developed by the Company, the Company first determines whether the entity is a VIE, which involves determining an entity’s variability and variable interests, identifying the holders of the equity investment at risk and assessing the five characteristics of a VIE. Once an entity is determined to be a VIE, the Company then determines whether it is the primary beneficiary of the VIE based on its beneficial interests. If the Company is deemed to be the primary beneficiary of the VIE, the Company consolidates the entity. Quarterly, management of the Company reviews its investment management agreements and its investments in, and other financial arrangements with, certain entities that hold client AUM to determine the entities the Company is required to consolidate under this guidance. These entities include certain mutual fund products, hedge funds, structured products, group trusts, collective investment trusts, and limited partnerships. The analysis performed to identify variable interests held, determine whether entities are VIEs or VOEs, and evaluate whether the Company has a controlling financial interest in such entities requires the exercise of judgment and is updated on a continuous basis as circumstances change or new entities are developed. The primary beneficiary evaluation generally is performed qualitatively based on all facts and circumstances, including consideration of economic interests in the VIE held directly and indirectly through related parties and entities under common control, as well as quantitatively, as appropriate. Consolidated VIEs Consolidated CLOs The Company is the investment manager of certain asset-backed investment vehicles, commonly referred to as CLOs, and certain other vehicles for which the Company earns fee income for investment management services. The Company may sell or syndicate investments through these vehicles, principally as part of the strategic investing activity as part of its investment management businesses. Additionally, the Company may invest in securities issued by these vehicles which are eliminated in consolidation of the CLOs. As of March 31, 2024 and December 31, 2023, respectively, Equitable Financial holds $110 million and $113 million of equity interests in the CLOs. The Company consolidated the CLOs as of March 31, 2024 and December 31, 2023 as it is the primary beneficiary due to the combination of both its equity interest held by Equitable Financial and the majority ownership of AB, which functions as the CLOs loan manager. The assets of the CLOs are legally isolated from the Company’s creditors and can only be used to settle obligations of the CLOs. The liabilities of the CLOs are non-recourse to the Company and the Company has no obligation to satisfy the liabilities of the CLOs. As of March 31, 2024, Equitable Financial holds $24 million of equity interests in a SPE established to purchase loans from the market in anticipation of a new CLO transaction. The Company consolidated the SPE as of March 31, 2024 as it is the primary beneficiary due to the combination of both its equity interest held by Equitable Financial and the majority ownership of AB, which functions as the SPE loan manager. Resulting from this consolidation in the Company’s consolidated balance sheets are fixed maturities, at fair value using the fair value option with total assets of $1.7 billion and $1.7 billion notes issued by consolidated variable interest entities, at fair value using the fair value option with total liabilities of $1.6 billion and $1.6 billion at March 31, 2024 and December 31, 2023, respectively . The unpaid outstanding principal balance of the notes and short-term borrowing is $1.6 billion and $1.6 billion at March 31, 2024 and December 31, 2023. Consolidated Limited Partnerships and LLCs As of March 31, 2024 and December 31, 2023 the Company consolidated limited partnerships and LLCs for which it was identified as the primary beneficiary under the VIE model. Included in other invested assets, mortgage loans on real estate, other equity investments, trading securities, cash and other liabilities in the Company’s consolidated balance sheets at March 31, 2024 and December 31, 2023 are total net assets of $2.5 billion and $1.8 billion, respectively related to these VIEs. Consolidated AB-Sponsored Investment Funds Included in the Company’s consolidated balance sheets as of March 31, 2024 and December 31, 2023 are assets of $188 million and $309 million, liabilities of $10 million and $10 million, and redeemable noncontrolling interests of $104 million and $203 million , respectively, associated with the consolidation of AB-sponsored investment funds under the VIE model . Also included in the Company’s consolidated balance sheets as of March 31, 2024 and December 31, 2023 are assets of $129 million and $121 million , liabilities of $4 million and $3 million , and redeemable noncontrolling interests of $21 million and $7 million , respectively, from consolidation of AB-sponsored investment funds under the VOE model. Non-Consolidated VIEs As of March 31, 2024 and December 31, 2023 respectively, the Company held approximately $2.7 billion and $2.6 billion of investment assets in the form of equity interests issued by non-corporate legal entities determined under the guidance to be VIEs, such as limited partnerships and limited liability companies, including CLOs, hedge funds, private equity funds and real estate-related funds. The Company continues to reflect these equity interests in the consolidated balance sheets as other equity investments and applies the equity method of accounting for these positions. The net assets of these non-consolidated VIEs are approximately $273.1 billion and $268.6 billion as of March 31, 2024 and December 31, 2023 respectively. The Company’s maximum exposure to loss from its direct involvement with these VIEs is the carrying value of its investment of $2.7 billion and $2.6 billion and approximately $1.3 billion and $1.3 billion of unfunded commitments as of March 31, 2024 and December 31, 2023, respectively. The Company has no further economic interest in these VIEs in the form of guarantees, derivatives, credit enhancements or similar instruments and obligations. Non-Consolidated AB-Sponsored Investment Products As of March 31, 2024 and December 31, 2023, the net assets of investment products sponsored by AB that are non-consolidated VIEs are approximately $65.5 billion and $54.6 billion, respectively. The Company’s maximum exposure to loss from its direct involvement with these VIEs is its investment of $22 million and $10 million as of March 31, 2024 and December 31, 2023. The Company has no further commitments to or economic interest in these VIEs. |
Fair Value Disclosures | U.S. GAAP establishes a fair value hierarchy that requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value, and identifies three levels of inputs that may be used to measure fair value: Level 1 Unadjusted quoted prices for identical instruments in active markets. Level 1 fair values generally are supported by market transactions that occur with sufficient frequency and volume to provide pricing information on an ongoing basis. Level 2 Observable inputs other than Level 1 prices, such as quoted prices for similar instruments, quoted prices in markets that are not active, and inputs to model-derived valuations that are directly observable or can be corroborated by observable market data. Level 3 Unobservable inputs supported by little or no market activity and often requiring significant management judgment or estimation, such as an entity’s own assumptions about the cash flows or other significant components of value that market participants would use in pricing the asset or liability. The Company uses unadjusted quoted market prices to measure fair value for those instruments that are actively traded in financial markets. In cases where quoted market prices are not available, fair values are measured using present value or other valuation techniques. The fair value determinations are made at a specific point in time, based on available market information and judgments about the financial instrument, including estimates of the timing and amount of expected future cash flows and the credit standing of counterparties. Such adjustments do not reflect any premium or discount that could result from offering for sale at one time the Company’s entire holdings of a particular financial instrument, nor do they consider the tax impact of the realization of unrealized gains or losses. In many cases, the fair value cannot be substantiated by direct comparison to independent markets, nor can the disclosed value be realized in immediate settlement of the instrument. Management is responsible for the determination of the value of investments carried at fair value and the supporting methodologies and assumptions. Under the terms of various service agreements, the Company often utilizes independent valuation service providers to gather, analyze, and interpret market information and derive fair values based upon relevant methodologies and assumptions for individual securities. These independent valuation service providers typically obtain data about market transactions and other key valuation model inputs from multiple sources and, through the use of widely accepted valuation models, provide a single fair value measurement for individual securities for which a fair value has been requested. As further described below with respect to specific asset classes, these inputs include, but are not limited to, market prices for recent trades and transactions in comparable securities, benchmark yields, interest rate yield curves, credit spreads, quoted prices for similar securities, and other market-observable information, as applicable. Specific attributes of the security being valued are also considered, including its term, interest rate, credit rating, industry sector, and when applicable, collateral quality and other security- or issuer-specific information. When insufficient market observable information is available upon which to measure fair value, the Company either will request brokers knowledgeable about these securities to provide a non-binding quote or will employ internal valuation models. Fair values received from independent valuation service providers and brokers and those internally modeled or otherwise estimated are assessed for reasonableness. Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis Fair value measurements are required on a non-recurring basis for certain assets only when an impairment or other events occur. For the periods ended March 31, 2024 and December 31, 2023, the Company recognized impairment adjustments and impairment losses, respectively, to adjust the carrying value of held-for-sale asset and liabilities to their fair value less cost to sell. The value is measured on a nonrecurring basis and categorized within Level 3 of the fair value hierarchy. The fair value was determined using a market approach, estimated based on the negotiated value of the asset and liabilities. See Note 19 of the Notes to these Consolidated Financial Statements for additional details of the Held-for-Sale assets and liabilities. |
SIGNIFICANT ACCOUNTING POLICI_3
SIGNIFICANT ACCOUNTING POLICIES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Accounting Policies [Abstract] | |
Schedule of New Accounting Pronouncements and Changes in Accounting Principles | Future Adoption of New Accounting Pronouncements Description Effective Date and Method of Adoption Effect on the Financial Statement or Other Significant Matters ASU 2023-07: Segment Reporting (Topic 280): Improvements to Reportable Segment Disclosures This ASU provides improvements to reportable segment disclosure requirements, primarily through enhanced disclosures about significant segment expenses. In addition, the amendments enhance interim disclosure requirements, clarify circumstances in which an entity can disclose multiple measures of segment profit or loss, provide new segment disclosure requirements for entities with a single reportable segment and contain other disclosure requirements. The ASU is effective for fiscal years beginning after December 15, 2023, and interim periods in fiscal years beginning after December 15, 2024. A calendar year public entity will adopt the ASU for its 2024 Form 10-K. The ASU should be adopted retrospectively to all periods presented in the financial statements unless it is impracticable to do so. The Company is currently assessing the additional required disclosures under the ASU including providing new segment disclosure requirements for entities with a single reportable segment. Management is evaluating the impact the adoption of this guidance will have on the Company’s consolidated financial statements. ASU 2023-09: Income Taxes (Topic 740): Improvements to Income Tax Disclosures The ASU enhanced existing income tax disclosures primarily related to the rate reconciliation and income taxes paid information. With regard to the improvements to disclosures of rate reconciliation, a public business entity is required on an annual basis to (1) disclose specific categories in the rate reconciliation and (2) provide additional information for reconciling items that meet a quantitative threshold. Similarly, a public entity is required to provide the amount of income taxes paid (net of refunds received) disaggregated by (1) federal, state, and foreign taxes and by(2) individual jurisdictions in which income taxes paid (net of refunds received) is equal to or greater than 5 percent of total income taxes paid (net of refunds received). The ASU also includes certain other amendments to improve the effectiveness of income tax disclosures, for example, an entity is required to provide (1) pretax income (or loss) from continuing operations disaggregated between domestic and foreign, and (2) income tax expense (or benefit) from continuing operations disaggregated by federal, state, and foreign. The ASU will be effective for annual periods beginning after December 15, 2024. Entities are required to apply the ASU on a prospective basis. The adoption of ASU 2023-09 is not expected to materially impact the Company’s financial position, results of operation, or cash flows. Description Effective Date and Method of Adoption Effect on the Financial Statement or Other Significant Matters SEC Release Nos. 33-11275; 34-99678, The Enhancement and Standardization of Climate-Related Disclosures for Investors The SEC adopted rules requiring registrants to disclose climate-related information in registration statements and annual reports. The new rules include disclosure of material climate-related risks, including descriptions of board oversight and risk management activities. the material impacts of these risks on a registrant’s strategy, business model and outlook and any material climate-related targets or goals. In addition, registrants will need to quantify certain effects of severe weather events and other natural conditions in a note to their audited financial statements. In April 2024, citing litigation challenging the rules that commenced immediately after they were issued, the SEC issued an order staying applicability of the rules while judicial review proceeds. Financial statement and all other disclosures are required at the beginning of the fiscal year 2025 with disclosures about material expenditure and impact required at the beginning of the fiscal year 2026. Disclosures are provided prospectively upon adoption. Scope 1 and Scope 2 Greenhouse gas emissions are required in 2026 with limited assurance in 2029 and reasonable assurance in 2033. Disclosures are provided prospectively upon adoption. The Company is currently assessing the additional required disclosures under the SEC Release. Management is evaluating the impact of the adoption of this guidance will have on the Company’s consolidated financial statements. |
INVESTMENTS (Tables)
INVESTMENTS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule of Available-for-Sale Fixed Maturities by Classification | The following tables provide information relating to the Company’s fixed maturities classified as AFS: AFS Fixed Maturities by Classification Amortized Cost Allowance for Credit Losses Gross Unrealized Gains Gross Unrealized Losses Fair Value (in millions) March 31, 2024 Fixed Maturities: Corporate (1) $ 49,975 $ 4 $ 252 $ 5,865 $ 44,358 U.S. Treasury, government and agency 5,759 — — 1,264 4,495 States and political subdivisions 586 — 6 79 513 Foreign governments 711 — 2 122 591 Residential mortgage-backed (2) 2,678 — 10 148 2,540 Asset-backed (3) 11,852 — 60 85 11,827 Commercial mortgage-backed 3,653 — 4 434 3,223 Redeemable preferred stock 56 — 3 — 59 Total at March 31, 2024 $ 75,270 $ 4 $ 337 $ 7,997 $ 67,606 December 31, 2023: Fixed Maturities: Corporate (1) $ 49,786 $ 4 $ 320 $ 5,360 $ 44,742 U.S. Treasury, government and agency 5,735 — 2 1,106 4,631 States and political subdivisions 614 — 9 74 549 Foreign governments 719 — 3 111 611 Residential mortgage-backed (2) 2,470 — 18 133 2,355 Asset-backed (3) 11,058 — 52 109 11,001 Commercial mortgage-backed 3,595 — 2 515 3,082 Redeemable preferred stock 56 — 3 — 59 Total at December 31, 2023 $ 74,033 $ 4 $ 409 $ 7,408 $ 67,030 ______________ (1) Corporate fixed maturities include both public and private issues. (2) Includes publicly traded agency pass-through securities and collateralized obligations. (3) Includes credit-tranched securities collateralized by sub-prime mortgages, credit risk transfer securities and other asset types. |
Schedule of Contractual Maturities of Available-for-Sale Fixed Maturities | The contractual maturities of AFS fixed maturities as of March 31, 2024 are shown in the table below. Bonds not due at a single maturity date have been included in the table in the final year of maturity. Actual maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or pre-payment penalties. Contractual Maturities of AFS Fixed Maturities Amortized Cost (Less Allowance for Credit Losses) Fair Value (in millions) March 31, 2024 Contractual maturities: Due in one year or less $ 1,898 $ 1,877 Due in years two through five 14,627 14,108 Due in years six through ten 16,210 15,013 Due after ten years 24,292 18,959 Subtotal 57,027 49,957 Residential mortgage-backed 2,678 2,540 Asset-backed 11,852 11,827 Commercial mortgage-backed 3,653 3,223 Redeemable preferred stock 56 59 Total at March 31, 2024 $ 75,266 $ 67,606 |
Schedule of Proceeds and Gains (Losses) on Sales for Available-for-Sale Fixed Maturities | The following table shows proceeds from sales, gross gains (losses) from sales and allowance for credit losses for AFS fixed maturities: Proceeds from Sales, Gross Gains (Losses) from Sales and Allowance for Credit and Intent to Sell Losses for AFS Fixed Maturities Three Months Ended March 31, 2024 2023 (in millions) Proceeds from sales $ 444 $ 825 Gross gains on sales $ — $ 2 Gross losses on sales $ (24) $ (26) Net (increase) decrease in Allowance for Credit and Intent to Sell losses $ (2) $ (56) |
Schedule of Debt Securities, Available-for-Sale, Allowance for Credit Loss | The following table sets forth the amount of credit loss impairments on AFS fixed maturities held by the Company at the dates indicated and the corresponding changes in such amounts: AFS Fixed Maturities - Credit and Intent to Sell Loss Impairments Three Months Ended March 31, 2024 2023 (in millions) Balance, beginning of period $ 48 $ 36 Previously recognized impairments on securities that matured, paid, prepaid or sold (4) (3) Recognized impairments on securities impaired to fair value this period (1) (2) — 52 Credit losses recognized this period on securities for which credit losses were not previously recognized 3 3 Additional credit losses this period on securities previously impaired 1 1 Balance, end of period $ 48 $ 89 ______________ (1) Represents circumstances where the Company determined in the current period that it intends to sell the security, or it is more likely than not that it will be required to sell the security before recovery of the security’s amortized cost. (2) Amounts reflected for the three months ended March 31, 2023 represent AFS fixed maturities in an unrealized loss position, which the Company intended to sell in anticipation of Equitable Financial’s ordinary dividend to Holdings. |
Schedule of Net Unrealized Gains (Losses) on Available-for-Sale Fixed Maturities | The tables below present a roll-forward of net unrealized investment gains (losses) recognized in AOCI: Net Unrealized Gains (Losses) on AFS Fixed Maturities Three Months Ended March 31, 2024 Net Unrealized Gains (Losses) on Investments Policyholders’ Liabilities Deferred Income Tax Asset (Liability) (1) AOCI Gain (Loss) Related to Net Unrealized Investment Gains (Losses) (1) (in millions) Balance, beginning of period $ (6,999) $ 50 $ 226 $ (6,723) Net investment gains (losses) arising during the period (683) — — (683) Reclassification adjustment: Included in net income (loss) 26 — — 26 Other — — (3) (3) Impact of net unrealized investment gains (losses) — 13 134 147 Net unrealized investment gains (losses) excluding credit losses (7,656) 63 357 (7,236) Net unrealized investment gains (losses) with credit losses (4) — 1 (3) Balance, end of period $ (7,660) $ 63 $ 358 $ (7,239) Three Months Ended March 31, 2023 Balance, beginning of period $ (9,606) $ 41 $ 440 $ (9,125) Net investment gains (losses) arising during the period 1,555 — — 1,555 Reclassification adjustment: Included in net income (loss) 80 — — 80 Other — — 342 342 Impact of net unrealized investment gains (losses) — (8) (342) (350) Net unrealized investment gains (losses) excluding credit losses (7,971) 33 440 (7,498) Net unrealized investment gains (losses) with credit losses (7) — 1 (6) Balance, end of period $ (7,978) $ 33 $ 441 $ (7,504) _____________ (1) Certain balances were revised from previously filed financial statements. |
Schedule of Continuous Gross Unrealized Losses for Available-for-Sale Fixed Maturities | The following tables disclose the fair values and gross unrealized losses of the 4,380 issues as of March 31, 2024 and the 4,402 issues as of December 31, 2023 that are not deemed to have credit losses, aggregated by investment category and length of time that individual securities have been in a continuous unrealized loss position for the specified periods at the dates indicated: AFS Fixed Maturities in an Unrealized Loss Position for Which No Allowance Is Recorded Less Than 12 Months 12 Months or Longer Total Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses Fair Value Gross Unrealized Losses (in millions) March 31, 2024 Fixed Maturities: Corporate $ 4,228 $ 158 $ 31,870 $ 5,702 $ 36,098 $ 5,860 U.S. Treasury, government and agency 101 2 4,320 1,262 4,421 1,264 States and political subdivisions 10 — 304 79 314 79 Foreign governments 56 2 487 120 543 122 Residential mortgage-backed 612 7 1,008 141 1,620 148 Asset-backed 2,087 5 1,737 80 3,824 85 Commercial mortgage-backed 48 8 2,889 426 2,937 434 Total at March 31, 2024 $ 7,142 $ 182 $ 42,615 $ 7,810 $ 49,757 $ 7,992 December 31, 2023: Fixed Maturities: Corporate $ 2,228 $ 126 $ 33,135 $ 5,231 $ 35,363 $ 5,357 U.S. Treasury, government and agency 111 2 4,447 1,104 4,558 1,106 States and political subdivisions 10 — 300 74 310 74 Foreign governments 15 2 517 109 532 111 Residential mortgage-backed 210 2 1,044 131 1,254 133 Asset-backed 528 1 5,522 108 6,050 109 Commercial mortgage-backed 92 11 2,856 504 2,948 515 Total at December 31, 2023 $ 3,194 $ 144 $ 47,821 $ 7,261 $ 51,015 $ 7,405 |
Schedule of Financing Receivable, Allowance for Credit Loss | The change in the allowance for credit losses for commercial, agricultural and residential mortgage loans were as follows: Three Months Ended March 31, 2024 2023 (in millions) Allowance for credit losses on mortgage loans: Commercial mortgages: Balance, beginning of period $ 272 $ 123 Current-period provision for expected credit losses 16 10 Write-offs charged against the allowance — — Recoveries of amounts previously written off — — Net change in allowance 16 10 Balance, end of period $ 288 $ 133 Agricultural mortgages: Balance, beginning of period $ 6 $ 6 Current-period provision for expected credit losses — — Write-offs charged against the allowance — — Recoveries of amounts previously written off — — Net change in allowance — — Balance, end of period $ 6 $ 6 Three Months Ended March 31, 2024 2023 (in millions) Residential mortgages: Balance, beginning of period $ 1 $ — Current-period provision for expected credit losses 2 — Write-offs charged against the allowance — — Recoveries of amounts previously written off — — Net change in allowance 2 — Balance, end of period $ 3 $ — Total allowance for credit losses $ 297 $ 139 |
Schedule of Financing Receivable Credit Quality Indicators | The Company’s commercial and agricultural mortgage loans segregated by risk rating exposure were as follows: Loan to Value (“LTV”) Ratios (1) (3) March 31, 2024 Amortized Cost Basis by Origination Year 2024 2023 2022 2021 2020 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Total (in millions) Commercial and agricultural mortgage loans: Commercial: 0% - 50% $ — $ 308 $ 155 $ 129 $ 35 $ 1,532 $ — $ — $ 2,159 50% - 70% 195 920 1,871 670 749 2,522 517 96 7,540 70% - 90% — 240 1,197 1,144 576 1,657 62 36 4,912 90% plus — — — 158 — 949 — — 1,107 Total commercial $ 195 $ 1,468 $ 3,223 $ 2,101 $ 1,360 $ 6,660 $ 579 $ 132 $ 15,718 Agricultural: 0% - 50% $ 14 $ 102 $ 160 $ 190 $ 242 $ 910 $ — $ — $ 1,618 50% - 70% 40 60 144 150 180 334 — — 908 70% - 90% — — — — — 16 — — 16 90% plus — — — — — — — — — Total agricultural $ 54 $ 162 $ 304 $ 340 $ 422 $ 1,260 $ — $ — $ 2,542 March 31, 2024 Amortized Cost Basis by Origination Year 2024 2023 2022 2021 2020 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Total (in millions) Total commercial and agricultural mortgage loans: 0% - 50% $ 14 $ 410 $ 315 $ 319 $ 277 $ 2,442 $ — $ — $ 3,777 50% - 70% 235 980 2,015 820 929 2,856 517 96 8,448 70% - 90% — 240 1,197 1,144 576 1,673 62 36 4,928 90% plus — — — 158 — 949 — — 1,107 Total commercial and agricultural mortgage loans $ 249 $ 1,630 $ 3,527 $ 2,441 $ 1,782 $ 7,920 $ 579 $ 132 $ 18,260 Debt Service Coverage (“DSC”) Ratios (2 ) (3) March 31, 2024 Amortized Cost Basis by Origination Year 2024 2023 2022 2021 2020 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Total (in millions) Commercial and agricultural mortgage loans: Commercial: Greater than 2.0x $ — $ 175 $ 693 $ 1,190 $ 1,133 $ 3,573 $ — $ — $ 6,764 1.8x to 2.0x 40 75 — 208 167 637 318 96 1,541 1.5x to 1.8x — 164 911 143 — 1,016 100 — 2,334 1.2x to 1.5x 82 612 981 427 — 912 79 — 3,093 1.0x to 1.2x 73 434 281 67 — 464 82 36 1,437 Less than 1.0x — 8 357 66 60 58 — — 549 Total commercial $ 195 $ 1,468 $ 3,223 $ 2,101 $ 1,360 $ 6,660 $ 579 $ 132 $ 15,718 Agricultural: Greater than 2.0x $ 8 $ 7 $ 50 $ 34 $ 59 $ 196 $ — $ — $ 354 1.8x to 2.0x 5 18 16 56 29 83 — — 207 1.5x to 1.8x 2 12 49 31 110 209 — — 413 1.2x to 1.5x 35 46 110 148 159 433 — — 931 1.0x to 1.2x 3 47 55 67 57 307 — — 536 Less than 1.0x 1 32 24 4 8 32 — — 101 Total agricultural $ 54 $ 162 $ 304 $ 340 $ 422 $ 1,260 $ — $ — $ 2,542 March 31, 2024 Amortized Cost Basis by Origination Year 2024 2023 2022 2021 2020 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Total (in millions) Total commercial and agricultural mortgage loans: Greater than 2.0x $ 8 $ 182 $ 743 $ 1,224 $ 1,192 $ 3,769 $ — $ — $ 7,118 1.8x to 2.0x 45 93 16 264 196 720 318 96 1,748 1.5x to 1.8x 2 176 960 174 110 1,225 100 — 2,747 1.2x to 1.5x 117 658 1,091 575 159 1,345 79 — 4,024 1.0x to 1.2x 76 481 336 134 57 771 82 36 1,973 Less than 1.0x 1 40 381 70 68 90 — — 650 Total commercial and agricultural mortgage loans $ 249 $ 1,630 $ 3,527 $ 2,441 $ 1,782 $ 7,920 $ 579 $ 132 $ 18,260 ______________ (1) The LTV ratio is derived from current loan balance divided by the fair value of the property. The fair value of the underlying commercial properties is updated annually for each mortgage loan. (2) The DSC ratio is calculated using the most recently reported operating income results from property operations divided by annual debt service. (3) Residential mortgage loans are excluded from the above tables. LTV Ratios (1) (3) December 31, 2023 Amortized Cost Basis by Origination Year 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Total (in millions) Commercial and agricultural mortgage loans: Commercial: 0% - 50% $ 249 $ 164 $ 129 $ 35 $ — $ 1,557 $ — $ — $ 2,134 50% - 70% 924 1,916 671 750 299 2,319 463 96 7,438 70% - 90% 308 1,197 1,236 523 245 1,384 37 35 4,965 90% plus — — 66 54 92 858 — — 1,070 Total commercial $ 1,481 $ 3,277 $ 2,102 $ 1,362 $ 636 $ 6,118 $ 500 $ 131 $ 15,607 Agricultural: 0% - 50% $ 102 $ 162 $ 191 $ 235 $ 132 $ 802 $ — $ — $ 1,624 50% - 70% 60 146 152 201 58 288 — — 905 70% - 90% — — — — — 16 — — 16 90% plus — — — — — — — — — Total agricultural $ 162 $ 308 $ 343 $ 436 $ 190 $ 1,106 $ — $ — $ 2,545 December 31, 2023 Amortized Cost Basis by Origination Year 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Total (in millions) Total commercial and agricultural mortgage loans: 0% - 50% $ 351 $ 326 $ 320 $ 270 $ 132 $ 2,359 $ — $ — $ 3,758 50% - 70% 984 2,062 823 951 357 2,607 463 96 8,343 70% - 90% 308 1,197 1,236 523 245 1,400 37 35 4,981 90% plus — — 66 54 92 858 — — 1,070 Total commercial and agricultural mortgage loans $ 1,643 $ 3,585 $ 2,445 $ 1,798 $ 826 $ 7,224 $ 500 $ 131 $ 18,152 DSC Ratios (2) (3) December 31, 2023 Amortized Cost Basis by Origination Year 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Total (in millions) Commercial and agricultural mortgage loans: Commercial: Greater than 2.0x $ 175 $ 693 $ 1,125 $ 1,135 $ 249 $ 3,273 $ — $ — $ 6,650 1.8x to 2.0x — — 182 167 171 662 383 96 1,661 1.5x to 1.8x 80 1,060 234 — 162 924 — — 2,460 1.2x to 1.5x 690 687 457 — 11 838 41 — 2,724 1.0x to 1.2x 528 668 38 — 43 317 76 35 1,705 Less than 1.0x 8 169 66 60 — 104 — — 407 Total commercial $ 1,481 $ 3,277 $ 2,102 $ 1,362 $ 636 $ 6,118 $ 500 $ 131 $ 15,607 Agricultural: Greater than 2.0x $ 7 $ 50 $ 36 $ 59 $ 20 $ 179 $ — $ — $ 351 1.8x to 2.0x 18 16 56 33 23 61 — — 207 1.5x to 1.8x 12 50 31 109 17 193 — — 412 1.2x to 1.5x 46 111 148 170 98 365 — — 938 1.0x to 1.2x 47 57 68 57 26 284 — — 539 Less than 1.0x 32 24 4 8 6 24 — — 98 Total agricultural $ 162 $ 308 $ 343 $ 436 $ 190 $ 1,106 $ — $ — $ 2,545 December 31, 2023 Amortized Cost Basis by Origination Year 2023 2022 2021 2020 2019 Prior Revolving Loans Amortized Cost Basis Revolving Loans Converted to Term Loans Amortized Cost Basis Total (in millions) Total commercial and agricultural mortgage loans: Greater than 2.0x $ 182 $ 743 $ 1,161 $ 1,194 $ 269 $ 3,452 $ — $ — $ 7,001 1.8x to 2.0x 18 16 238 200 194 723 383 96 1,868 1.5x to 1.8x 92 1,110 265 109 179 1,117 — — 2,872 1.2x to 1.5x 736 798 605 170 109 1,203 41 — 3,662 1.0x to 1.2x 575 725 106 57 69 601 76 35 2,244 Less than 1.0x 40 193 70 68 6 128 — — 505 Total commercial and agricultural mortgage loans $ 1,643 $ 3,585 $ 2,445 $ 1,798 $ 826 $ 7,224 $ 500 $ 131 $ 18,152 ______________ (1) The LTV ratio is derived from current loan balance divided by the fair value of the property. The fair value of the underlying commercial properties is updated annually for each mortgage loan. (2) The DSC ratio is calculated using the most recently reported operating income results from property operations divided by annual debt service. (3) Residential mortgage loans are excluded from the above tables. The amortized cost of residential mortgage loans by credit quality indicator and origination year was as follows: March 31, 2024 Amortized Cost Basis by Origination Year 2024 2023 2022 2021 2020 Prior Total (in millions) Performance indicators: Performing $ — $ 373 $ 139 $ 90 $ 3 $ 2 $ 607 Nonperforming — — — — — — — Total $ — $ 373 $ 139 $ 90 $ 3 $ 2 $ 607 December 31, 2023 Amortized Cost Basis by Origination Year 2023 2022 2021 2020 2019 Prior Total (in millions) Performance indicators: Performing $ 98 $ 121 $ 74 $ 2 $ 1 $ 2 $ 298 Nonperforming — — — — — — — Total $ 98 $ 121 $ 74 $ 2 $ 1 $ 2 $ 298 |
Schedule of Age Analysis of Past Due Mortgage Loans | The aging analysis of past-due mortgage loans were as follows: Age Analysis of Past Due Mortgage Loans (1) Accruing Loans Non-accruing Loans Total Loans Non-accruing Loans with No Allowance Interest Income on Non-accruing Loans Past Due Current Total 30-59 Days 60-89 Days 90 Days or More Total (in millions) March 31, 2024: Mortgage loans: Commercial $ — $ — $ — $ — $ 15,484 $ 15,484 $ 234 $ 15,718 $ — $ — Agricultural 1 5 54 60 2,463 2,523 19 2,542 — — Residential — — — — 607 607 — 607 — — Total $ 1 $ 5 $ 54 $ 60 $ 18,554 $ 18,614 $ 253 $ 18,867 $ — $ — December 31, 2023: Mortgage loans: Commercial $ 32 $ — $ — $ 32 $ 15,341 $ 15,373 $ 234 $ 15,607 $ — $ 7 Agricultural 7 5 40 52 2,474 2,526 19 2,545 — — Residential — — — — 298 298 — 298 — — Total $ 39 $ 5 $ 40 $ 84 $ 18,113 $ 18,197 $ 253 $ 18,450 $ — $ 7 _______________ (1) |
Schedule of Unrealized and Realized Gains (Losses) from Equity Securities and Net Investment Income (Loss) from Trading Securities and Net Investment Income (Loss) from Fixed Maturities, at Fair Value using the Fair Value Option | The breakdown of unrealized and realized gains and (losses) on equity securities was as follows: Unrealized and Realized Gains (Losses) from Equity Securities Three Months Ended March 31, 2024 2023 (in millions) Net investment gains (losses) recognized during the period on securities held at the end of the period $ 15 $ (3) Net investment gains (losses) recognized on securities sold during the period (1) — Unrealized and realized gains (losses) on equity securities $ 14 $ (3) The breakdown of net investment income (loss) from trading securities was as follows: Net Investment Income (Loss) from Trading Securities Three Months Ended March 31, 2024 2023 (in millions) Net investment gains (losses) recognized during the period on securities held at the end of the period $ 36 $ 35 Net investment gains (losses) recognized on securities sold during the period 1 (1) Unrealized and realized gains (losses) on trading securities 37 34 Interest and dividend income from trading securities 11 5 Net investment income (loss) from trading securities $ 48 $ 39 The breakdown of net investment income (loss) from fixed maturities, at fair value using the fair value option were as follows: Net Investment Income (Loss) from Fixed Maturities, at Fair Value using the Fair Value Option Three Months Ended March 31, 2024 2023 (in millions) Net investment gains (losses) recognized during the period on securities held at the end of the period $ (3) $ 4 Net investment gains (losses) recognized on securities sold during the period 1 (2) Unrealized and realized gains (losses) from fixed maturities (2) 2 Interest and dividend income from fixed maturities 5 7 Net investment income (loss) from fixed maturities $ 3 $ 9 |
Schedule of Net Investment Income | The following tables provides the components of net investment income by investment type: Three Months Ended March 31, 2024 2023 (in millions) Fixed maturities $ 821 $ 715 Mortgage loans on real estate 234 177 Other equity investments 60 6 Policy loans 54 52 Trading securities 48 39 Other investment income 25 18 Fixed maturities, at fair value using the fair value option 3 9 Gross investment income (loss) 1,245 1,016 Investment expenses (26) (26) Net investment income (loss) $ 1,219 $ 990 |
Schedule of Investment Gains (Losses), Net | Investment gains (losses), net, including changes in the valuation allowances and credit losses were as follows: Three Months Ended March 31, 2024 2023 (in millions) Fixed maturities $ (26) $ (80) Mortgage loans on real estate (18) (10) Other 5 3 Investment gains (losses), net $ (39) $ (87) |
DERIVATIVES (Tables)
DERIVATIVES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments by Category | The following table presents the gross notional amount and fair value of the Company’s derivatives: Derivative Instruments by Category March 31, 2024 December 31, 2023 Fair Value Fair Value Notional Amount Derivative Assets Derivative Liabilities Net Derivatives Notional Amount Derivative Assets Derivative Liabilities Net Derivatives (in millions) Derivatives: designated for hedge accounting (1) Cash flow hedges: Currency swaps $ 2,373 $ 82 $ 96 $ (14) $ 2,358 $ 79 $ 90 $ (11) Interest swaps 952 — 323 (323) 952 — 311 (311) Total: designated for hedge accounting 3,325 82 419 (337) 3,310 79 401 (322) Derivatives: not designated for hedge accounting (1) Equity contracts: Futures 9,269 — 1 (1) 7,877 — 4 (4) Swaps 16,365 60 11 49 15,021 53 10 43 Options 60,035 16,560 3,797 12,763 53,927 13,213 3,129 10,084 Interest rate contracts: Futures 8,638 — — — 8,094 — — — Swaps 2,887 26 19 7 2,887 118 2 116 Credit contracts: Credit default swaps 185 8 5 3 242 9 6 3 Currency contracts: Currency swaps 840 4 1 3 823 — 27 (27) Currency forwards 17 13 13 — 36 20 21 (1) Other freestanding contracts: Margin — 511 — 511 — 468 — 468 Collateral — 215 12,157 (11,942) — 75 9,232 (9,157) Total: not designated for hedge accounting 98,236 17,397 16,004 1,393 88,907 13,956 12,431 1,525 Embedded derivatives: SCS, SIO, MSO and IUL indexed features (2) — — 13,758 (13,758) — — 10,745 (10,745) Total embedded derivatives — — 13,758 (13,758) — — 10,745 (10,745) Total derivative instruments $ 101,561 $ 17,479 $ 30,181 $ (12,702) $ 92,217 $ 14,035 $ 23,577 $ (9,542) ______________ (1) Reported in other invested assets in the consolidated balance sheets. (2) Reported in policyholders’ account balances in the consolidated balance sheets. The following table presents the effects of derivative instruments on the consolidated statements of income and comprehensive income (loss): Derivative Instruments by Category Three Months Ended March 31, 2024 Three Months Ended March 31, 2023 Net Derivatives Gain (Losses) (1) Net Investment Income Interest Credited To Policyholders Account Balances AOCI Net Derivatives Gain (Losses) (1) Net Investment Income Interest Credited To Policyholders Account Balances AOCI (in millions) Derivatives: designated for hedge accounting Cash flow hedges: Currency swaps $ — $ 3 $ (18) $ 16 $ 7 $ 3 $ (34) $ 25 Interest swaps — 3 — (7) (4) — — (28) Total: designated for hedge accounting — 6 (18) 9 3 3 (34) (3) Derivatives: not Designated for hedge accounting Equity contracts: Futures 241 — — — (143) — — — Swaps (1,115) — — — (605) — — — Options 2,795 — — — 1,501 — — — Interest rate contracts: Futures (9) — — — (22) — — — Swaps (164) — — — 48 — — — Credit contracts: Credit default swaps (1) — — — (2) — — — Currency contracts: Currency swaps 12 — — — (10) — — — Currency forwards 1 — — — — — — — Other freestanding contracts: Margin — — — — — — — — Collateral — — — — — — — — Total: not designated for hedge accounting 1,760 — — — 767 — — — Embedded derivatives: SCS, SIO,MSO and IUL indexed features (3,136) — — — (1,611) — — — Total embedded derivatives (3,136) — — — (1,611) — — — Total derivative instruments $ (1,376) $ 6 $ (18) $ 9 $ (841) $ 3 $ (34) $ (3) ______________ (1) Reported in net derivative gains (losses) in the consolidated statements of income (loss). |
Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss) | The following table presents a roll-forward of cash flow hedges recognized in AOCI: Roll-forward of Cash flow hedges in AOCI Three Months Ended March 31, 2024 2023 (in millions) Balance, beginning of period $ (29) $ 22 Amount recorded in AOCI Currency swaps — (7) Interest swaps (8) (37) Total amount recorded in AOCI (8) (44) Amount reclassified from (to) income to AOCI Currency swaps (1) 16 32 Interest swaps (1) 1 9 Total amount reclassified from (to) income to AOCI 17 41 Balance, end of period (2) $ (20) $ 19 _______________ (1) Currency swaps income is reported in net investment income in the consolidated statements of income (loss). Interest swaps income is reported in net derivative gains (losses) in the consolidated statements of income (loss). (2) The Company does not estimate the amount of the deferred losses in AOCI at March 31, 2024, 2023 and 2022 which will be released and reclassified into net income (loss) over the next 12 months as the amounts cannot be reasonably estimated. |
Schedule of Offsetting Financial Assets and Liabilities and Derivative Instruments | The following tables present information about the Company’s offsetting of financial assets and liabilities and derivative instruments: Offsetting of Financial Assets and Liabilities and Derivative Instruments As of March 31, 2024 Gross Amount Recognized Gross Amount Offset in the Balance Sheets Net Amount Presented in the Balance Sheets Gross Amount not Offset in the Balance Sheets (3) Net Amount (in millions) Assets: Derivative assets (1) $ 17,481 $ 13,904 $ 3,577 $ (2,516) $ 1,061 Secured lending 147 — 147 — 147 Other financial assets 2,000 — 2,000 — 2,000 Other invested assets $ 19,628 $ 13,904 $ 5,724 $ (2,516) $ 3,208 Liabilities: Derivative liabilities (2) $ 13,906 $ 13,904 $ 2 $ — $ 2 Secured lending 147 — $ 147 — 147 Other financial liabilities 6,362 — 6,362 — 6,362 Other liabilities $ 20,415 $ 13,904 $ 6,511 $ — $ 6,511 ______________ (1) Excludes Investment Management and Research segment’s derivative assets of consolidated VIEs/VOEs. (2) Excludes Investment Management and Research segment’s derivative liabilities of consolidated VIEs/VOEs. (3) Financial instruments/collateral sent (held). As of December 31, 2023 Gross Amount Recognized Gross Amount Offset in the Balance Sheets Net Amount Presented in the Balance Sheets Gross Amount not Offset in the Balance Sheets (3) Net Amount (in millions) Assets: Derivative assets (1) $ 14,036 $ 9,543 $ 4,493 $ (3,254) $ 1,239 Secured Lending $ 116 $ — $ 116 $ — $ 116 Other financial assets 2,110 — 2,110 — 2,110 Other invested assets $ 16,262 $ 9,543 $ 6,719 $ (3,254) $ 3,465 Liabilities: Derivative liabilities (2) $ 9,579 $ 9,543 $ 36 $ — $ 36 Secured Lending $ 116 $ — $ 116 $ — $ 116 Other financial liabilities 5,936 — 5,936 — 5,936 Other liabilities $ 15,631 $ 9,543 $ 6,088 $ — $ 6,088 ______________ (1) Excludes Investment Management and Research segment’s derivative assets of consolidated VIEs/VOEs. (2) Excludes Investment Management and Research segment’s derivative liabilities of consolidated VIEs/VOEs. (3) Financial instruments sent (held). |
CLOSED BLOCK (Tables)
CLOSED BLOCK (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Closed Block Disclosure [Abstract] | |
Schedule of Closed Block Assets and Liabilities | Summarized financial information for the Company’s Closed Block is as follows: March 31, 2024 December 31, 2023 (in millions) Closed Block Liabilities: Future policy benefits, policyholders’ account balances and other $ 5,390 $ 5,461 Other liabilities 69 57 Total Closed Block liabilities 5,459 5,518 Assets Designated to the Closed Block: Fixed maturities AFS, at fair value (amortized cost of $2,949 and $2,945) (allowance for credit losses of $0 and $0) 2,784 2,800 Mortgage loans on real estate (net of allowance for credit losses of $13 and $13) 1,550 1,612 Policy loans 541 554 Cash and other invested assets 63 58 Other assets 163 150 Total assets designated to the Closed Block 5,101 5,174 Excess of Closed Block liabilities over assets designated to the Closed Block 358 344 Amounts included in AOCI: Net unrealized investment gains (losses), net of policyholders’ dividend obligation: $0 and $0; and net of income tax: $35 and $31 (130) (115) Maximum future earnings to be recognized from Closed Block assets and liabilities $ 228 $ 229 |
Schedule of Closed Block Operations, Net Results | The Company’s Closed Block revenues and expenses were as follows: Three Months Ended March 31, 2024 2023 (in millions) Revenues: Premiums and other income $ 29 $ 30 Net investment income (loss) 52 51 Investment gains (losses), net (1) — Total revenues 80 81 Benefits and Other Deductions: Policyholders’ benefits and dividends 77 83 Total benefits and other deductions 77 83 Net income (loss), before income taxes 3 (2) Income tax (expense) benefit (1) (1) Net income (loss) $ 2 $ (3) |
DAC AND OTHER DEFERRED ASSETS_2
DAC AND OTHER DEFERRED ASSETS/LIABILITIES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Contract Holder Bonus Interest Credits [Abstract] | |
Schedule of Reconciliation of Deferred Acquisition Cost | The following table presents a reconciliation of DAC to the consolidated balance sheets: March 31, December 31, 2024 2023 (in millions) Protection Solutions Term $ 331 $ 337 Universal Life 174 174 Variable Universal Life 1,009 987 Indexed Universal Life 187 188 Individual Retirement GMxB Core 1,604 1,602 EQUI-VEST Individual 154 155 Investment Edge 180 172 SCS 1,655 1,571 Legacy Segment GMxB Legacy 546 555 Group Retirement EQUI-VEST Group 747 742 Momentum 80 82 Corporate and Other 114 116 Other 23 24 Total $ 6,804 $ 6,705 |
Schedule of Deferred Policy Acquisition Costs | Changes in the DAC asset were as follows: Three Months Ended March 31, 2024 Protection Solutions Individual Retirement Legacy Group Retirement Corporate and Other Total Term UL VUL IUL GMxB Core EI IE SCS GMxB Legacy EG Momentum CB (1) (in millions) Balance, beginning of period $ 337 $ 174 $ 987 $ 188 $ 1,602 $ 155 $ 172 $ 1,571 $ 555 $ 742 $ 82 $ 116 $ 6,681 Capitalization 4 3 37 2 39 2 12 148 7 15 2 — 271 Amortization (2) (10) (3) (15) (3) (37) (3) (4) (64) (16) (10) (4) (2) (171) Balance, end of period $ 331 $ 174 $ 1,009 $ 187 $ 1,604 $ 154 $ 180 $ 1,655 $ 546 $ 747 $ 80 $ 114 $ 6,781 ______________ (1) “CB” defined as Closed Block. (2) DAC amortization of $1 million related to Other not reflected in table above. Three Months Ended March 31, 2023 Protection Solutions Individual Retirement Legacy Group Retirement Corporate and Other Total Term UL VUL IUL GMxB Core EI IE SCS GMxB Legacy EG Momentum CB (in millions) Balance, beginning of period $ 362 $ 179 $ 889 $ 185 $ 1,625 $ 156 $ 148 $ 1,279 $ 593 $ 710 $ 89 $ 127 $ 6,342 Capitalization 4 1 35 3 19 3 11 101 6 16 3 — 202 Amortization (1) (10) (3) (14) (3) (35) (3) (3) (47) (16) (10) (5) (3) (152) Balance, end of period $ 356 $ 177 $ 910 $ 185 $ 1,609 $ 156 $ 156 $ 1,333 $ 583 $ 716 $ 87 $ 124 $ 6,392 Changes in the Individual Retirement sales inducement assets were as follows: Three Months Ended March 31, 2024 2023 GMxB Core GMxB Legacy GMxB Core GMxB Legacy (in millions) Balance, beginning of period $ 127 $ 179 $ 137 $ 200 Capitalization 1 — — — Amortization (3) (5) (3) (5) Balance, end of period $ 125 $ 174 $ 134 $ 195 Changes in the Protection Solutions unearned revenue liability were as follows: Three Months Ended March 31, 2024 2023 UL VUL IUL UL VUL IUL (in millions) Balance, beginning of period $ 107 $ 754 $ 210 $ 95 $ 684 $ 157 Capitalization 4 32 14 5 27 17 Amortization (2) (12) (3) (2) (10) (3) Balance, end of period $ 109 $ 774 $ 221 $ 98 $ 701 $ 171 |
FAIR VALUE DISCLOSURES (Tables)
FAIR VALUE DISCLOSURES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Fair Value Disclosures [Abstract] | |
Schedule of Assets and Liabilities Measured at Fair Value on Recurring Basis | Assets and liabilities measured at fair value on a recurring basis are summarized below: Fair Value Measurements as of March 31, 2024 Level 1 Level 2 Level 3 Total (in millions) Assets: Investments Fixed maturities, AFS: Corporate (1) $ — $ 42,020 $ 2,338 $ 44,358 U.S. Treasury, government and agency — 4,495 — 4,495 States and political subdivisions — 513 — 513 Foreign governments — 591 — 591 Residential mortgage-backed (2) — 2,540 — 2,540 Asset-backed (3) — 11,756 71 11,827 Commercial mortgage-backed — 3,216 7 3,223 Redeemable preferred stock — 59 — 59 Total fixed maturities, AFS — 65,190 2,416 67,606 Fixed maturities, at fair value using the fair value option — 1,443 244 1,687 Other equity investments (4) 251 463 55 769 Trading securities 393 886 61 1,340 Other invested assets: Short-term investments — 411 — 411 Assets of consolidated VIEs/VOEs 64 240 3 307 Swaps — (278) — (278) Credit default swaps — 3 — 3 Futures (1) — — (1) Options — 12,763 — 12,763 Total other invested assets 63 13,139 3 13,205 Cash equivalents 7,451 1,173 — 8,624 Segregated securities — 866 — 866 Purchased market risk benefits — — 8,337 8,337 Assets for market risk benefits — — 818 818 Separate Accounts assets (5) 130,299 2,591 1 132,891 Total Assets $ 138,457 $ 85,751 $ 11,935 $ 236,143 Liabilities: Notes issued by consolidated VIE’s, at fair value using the fair value option (6) $ — $ 1,561 $ — $ 1,561 SCS, SIO, MSO and IUL indexed features’ liability — 13,758 — 13,758 Liabilities of consolidated VIEs and VOEs — 5 — 5 Liabilities for market risk benefits — — 12,814 12,814 Contingent payment arrangements — — 254 254 Total Liabilities $ — $ 15,324 $ 13,068 $ 28,392 ______________ (1) Corporate fixed maturities includes both public and private issues. (2) Includes publicly traded agency pass-through securities and collateralized obligations. (3) Includes credit-tranched securities collateralized by sub-prime mortgages, credit risk transfer securities and other asset types. (4) Includes short position equity securities of $10 million that are reported in other liabilities. (5) Separate Accounts assets included in the fair value hierarchy exclude investments in entities that calculate NAV per share (or its equivalent) as a practical expedient. Such investments excluded from the fair value hierarchy include investments in real estate. As of March 31, 2024, the fair value of such investments was $354 million. (6) Accrued interest payable of $19 million is reported in Notes issued by consolidated VIE’s, at fair value using the fair value option in the consolidated balance sheets, which is not required to be measured at fair value on a recurring basis. Fair Value Measurements as of December 31, 2023 Level 1 Level 2 Level 3 Total (in millions) Assets: Investments Fixed maturities, AFS: Corporate (1) $ — $ 42,584 $ 2,158 $ 44,742 U.S. Treasury, government and agency — 4,631 — 4,631 States and political subdivisions — 522 27 549 Foreign governments — 611 — 611 Residential mortgage-backed (2) — 2,355 — 2,355 Asset-backed (3) — 10,954 47 11,001 Commercial mortgage-backed (2) — 3,075 7 3,082 Redeemable preferred stock — 59 — 59 Total fixed maturities, AFS — 64,791 2,239 67,030 Fixed maturities, at fair value using the fair value option — 1,473 181 1,654 Other equity investments (4) 217 464 54 735 Trading securities 321 675 61 1,057 Other invested assets: Short-term investments — 429 — 429 Assets of consolidated VIEs/VOEs 61 350 3 414 Swaps — (190) — (190) Credit default swaps — 3 — 3 Futures (4) — — (4) Options — 10,084 — 10,084 Total other invested assets 57 10,676 3 10,736 Cash equivalents 5,901 694 — 6,595 Segregated securities — 868 — 868 Purchased market risk benefits — — 9,427 9,427 Assets for market risk benefits — — 591 591 Separate Accounts assets (5) 124,099 2,624 — 126,723 Total Assets $ 130,595 $ 82,265 $ 12,556 $ 225,416 Liabilities: Notes issued by consolidated VIE’s, at fair value using the fair value option (6) $ — $ 1,539 $ — $ 1,539 SCS, SIO, MSO and IUL indexed features’ liability — 10,745 — 10,745 Liabilities of consolidated VIEs and VOEs 1 2 — 3 Liabilities for market risk benefits — — 14,612 14,612 Contingent payment arrangements — — 253 253 Total Liabilities $ 1 $ 12,286 $ 14,865 $ 27,152 ______________ (1) Corporate fixed maturities includes both public and private issues. (2) Includes publicly traded agency pass-through securities and collateralized obligations. (3) Includes credit-tranched securities collateralized by sub-prime mortgages, credit risk transfer securities and other asset types. (4) Includes short position equity securities of $4 million that are reported in other liabilities. (5) Separate Accounts assets included in the fair value hierarchy exclude investments in entities that calculate NAV per share (or its equivalent) as a practical expedient. Such investments excluded from the fair value hierarchy include investments in real estate. As of December 31, 2023, the fair value of such investments was $371 million. (6) Accrued interest payable of $20 million is reported in Notes issued by consolidated VIE’s, at fair value using the fair value option in the consolidated balance sheets, which is not required to be measured at fair value on a recurring basis. |
Schedule of Reconciliation of Assets and Liabilities at Level 3 | The tables below present reconciliations for all Level 3 assets and liabilities and changes in unrealized gains (losses). Not included below are the changes in balances related to MRBs and purchased MRBs level 3 assets and liabilities, which are included in Note 9 of the Notes to these Consolidated Financial Statements. Three Months Ended March 31, 2024 Corporate State and Political Subdivisions Asset-backed RMBS CMBS (in millions) Balance, beginning of period $ 2,158 $ 27 $ 47 $ — $ 7 Total gains and (losses), realized and unrealized, included in: Net income (loss) as: Net investment income (loss) 2 — — — — Investment gains (losses), net (1) — — — — Subtotal 1 — — — — Other comprehensive income (loss) 10 — — — — Purchases 215 — 48 — — Sales (56) — (10) — — Settlements — — — — — Other — — — — — Activity related to consolidated VIEs/VOEs — — — — — Transfers into Level 3 (1) 57 — — — — Transfers out of Level 3 (1) (47) (27) (14) — — Balance, end of period $ 2,338 $ — $ 71 $ — $ 7 Change in unrealized gains or losses for the period included in earnings for instruments held at the end of the reporting period (2) $ — $ — $ — $ — $ — Change in unrealized gains or losses for the period included in other comprehensive income for instruments held at the end of the reporting period (2) $ 10 $ — $ — $ — $ — ______________ (1) Transfers into/out of the Level 3 classification are reflected at beginning-of-period fair values. (2) For instruments held as of March 31, 2024, amounts are included in net investment income or net derivative gains (losses) in the consolidated statements of income (loss) or unrealized gains (losses) on investments in the consolidated statements of comprehensive income. Three Months Ended March 31, 2024 Fixed maturities, at FVO Other Equity Investments (3) Trading Securities, at Fair Value Separate Accounts Assets Contingent Payment Arrangement (in millions) Balance, beginning of period $ 181 $ 57 $ 61 $ — $ (253) Total gains and (losses), realized and unrealized, included in: Net income (loss) as: Net investment income (loss) 16 1 — — — Investment gains (losses), net — — — — — Subtotal 16 1 — — — Other comprehensive income (loss) — — — — — Purchases 80 42 — 1 — Sales (15) (42) — — — Settlements — — — — 1 Other — — — — (2) Activity related to consolidated VIEs/VOEs — — — — — Transfers into Level 3 (1) 63 — — — — Transfers out of Level 3 (1) (81) — — — — Three Months Ended March 31, 2024 Fixed maturities, at FVO Other Equity Investments (3) Trading Securities, at Fair Value Separate Accounts Assets Contingent Payment Arrangement (in millions) Balance, end of period $ 244 $ 58 $ 61 $ 1 $ (254) Change in unrealized gains or losses for the period included in earnings for instruments held at the end of the reporting period (2) $ — $ 1 $ — $ — $ — Change in unrealized gains or losses for the period included in other comprehensive income for instruments held at the end of the reporting period (2) $ 28 $ — $ — $ — $ — ______________ (1) Transfers into/out of the Level 3 classification are reflected at beginning-of-period fair values. (2) For instruments held as of March 31, 2024, amounts are included in net investment income or net derivative gains (losses) in the consolidated statements of income (loss) or unrealized gains (losses) on investments in the consolidated statements of comprehensive income. (3) Other Equity Investments include other invested assets. Three Months Ended March 31, 2023 Corporate State and Political Subdivisions Asset-backed RMBS CMBS (in millions) Balance, beginning of period $ 2,121 $ 28 $ — $ 34 $ 32 Total gains and (losses), realized and unrealized, included in: Net income (loss) as: Net investment income (loss) 2 — — — — Investment gains (losses), net (3) — — — — Subtotal (1) — — — — Other comprehensive income (loss) 18 — — — — Purchases 171 — 12 — 2 Sales (91) — — — — Settlements — — — — — Other — — — — — Activity related to consolidated VIEs/VOEs — — — — — Transfers into Level 3 (1) — — — — — Transfers out of Level 3 (1) (268) — — (34) — Balance, end of period $ 1,950 $ 28 $ 12 $ — $ 34 Change in unrealized gains or losses for the period included in earnings for instruments held at the end of the reporting period (2) $ — $ — $ — $ — $ — Change in unrealized gains or losses for the period included in other comprehensive income for instruments held at the end of the reporting period (2) $ 17 $ — $ — $ — $ — ______________ (1) Transfers into/out of the Level 3 classification are reflected at beginning-of-period fair values. (2) Three Months Ended March 31, 2023 Fixed maturities, at FVO Other Equity Investments (3) Trading Securities, at Fair Value Separate Accounts Assets Contingent Payment Arrangement (in millions) Balance, beginning of period $ 224 $ 17 $ 55 $ 1 $ (247) Total gains and (losses), realized and unrealized, included in: Net income (loss) as: Net investment income (loss) 3 (3) — — — Investment gains (losses), net — — — — — Subtotal 3 (3) — — — Other comprehensive income (loss) — — — — — Purchases 12 — — — — Sales — — — — — Settlements — — — — — Other — — — — (1) Activity related to consolidated VIEs/VOEs — — — — — Transfers into Level 3 (1) 56 1 — — — Transfers out of Level 3 (1) (99) — — — — Balance, end of period $ 196 $ 15 $ 55 $ 1 $ (248) Change in unrealized gains or losses for the period included in earnings for instruments held at the end of the reporting period (2) $ 3 $ (3) $ — $ — $ — Change in unrealized gains or losses for the period included in other comprehensive income for instruments held at the end of the reporting period (2) $ — $ — $ — $ — $ — Transfers into/out of the Level 3 classification are reflected at beginning-of-period fair values. (2) For instruments held as of March 31, 2023, amounts are included in net investment income or net derivative gains (losses) in the consolidated statements of income (loss) or unrealized gains (losses) on investments in the consolidated statements of comprehensive income. (3) Other Equity Investments include other invested assets. |
Schedule of Quantitative Information About Level 3 Fair Value Measurement | The following tables disclose quantitative information about Level 3 fair value measurements by category for assets and liabilities: Quantitative Information about Level 3 Fair Value Measurements as of March 31, 2024 Fair Valuation Technique Significant Unobservable Input Range Weighted Average (2) (Dollars in millions) Assets: Investments: Fixed maturities, AFS: Corporate $ 350 Matrix pricing model Spread over Benchmark 20 bps - 270 bps 145 bps 1,172 Market comparable EBITDA multiples Discount rate Cash flow multiples Loan to value 3.3x - 30.5x 0.0% - 19.2% 0.8x - 9.3x 0.0% - 61.4% 13.5x 3.8% 6.2x 14.0% Trading securities, at fair value 61 Discounted cash flow Earnings multiple Discount factor Discount years 9.1x 10.0% 7 Other equity investments 2 Discounted cash flow Earnings Multiple 3.9x - 7.0x 5.9x Purchased MRB asset (1) (2) (4) 8,337 Discounted cash flow Lapse rates Withdrawal rates GMIB Utilization rates Non-performance risk Volatility rates - Equity Mortality: Ages 0-40 Ages 41-60 Ages 61-115 0.21%-12.38% 0.07%-14.97% 0.04%-66.21% 32 bps - 101 bps 12%-28% 0.01%-0.18% 0.07%-0.53% 0.33%-42.00% 1.96% 0.50% 6.91% 40 bps 23% 3.25% (same for all ages) (same for all ages) Liabilities: AB Contingent consideration payable $ 254 Discounted cash flow Expected revenue growth rates Discount rate 2.0% - 29.3% 1.9% - 10.4% 7.9% 4.6% Direct MRB (1) (2) (3) (4) 11,996 Discounted cash flow Non-performance risk Lapse rates Withdrawal rates Annuitization rates Mortality: Ages 0-40 Ages 41-60 Ages 61-115 117 bps 0.21%-29.37% 0.00%-14.97% 0.04%-100.00% 0.01%-0.18% 0.07%-0.53% 0.33%-42.00% 117 bps 3.20% 0.67% 5.15% 2.67% (same for all ages) (same for all ages) ______________ (1) Mortality rates vary by age and demographic characteristic such as gender. Mortality rate assumptions are based on a combination of company and industry experience. A mortality improvement assumption is also applied. For any given contract, mortality rates vary throughout the period over which cash flows are projected for purposes of valuating the embedded derivatives. (2) Lapses and pro-rata withdrawal rates were developed as a function of the policy account value. Dollar for dollar withdrawal rates were developed as a function of the dollar for dollar threshold, the dollar for dollar limit. Utilization rates were developed as a function of the benefit base. (3) MRB liabilities are shown net of MRB assets. Net amount is made up of $12.8 billion of MRB liabilities and $818 million of MRB assets. (4) Includes Legacy and Core products. Quantitative Information about Level 3 Fair Value Measurements as of December 31, 2023 Fair Valuation Significant Range Weighted Average (2) (Dollars in millions) Assets: Investments: Fixed maturities, AFS: Corporate $ 373 Matrix pricing model Spread over benchmark 20 bps - 747 bps 181 bps 979 Market comparable companies EBITDA multiples Discount rate Cash flow multiples Loan to value 3.3x - 29.0x 0.0% - 22.8% 0.8x-10.0x 3.4%-61.0% 13.6x 3.9% 6.3x 13.8% Trading securities, at fair value 61 Discounted cash flow Earnings multiple Discounts factor Discount years 9.1x 10.00% 7 Other equity investments 2 Discounted cash flow Earnings Multiple 3.9x - 8.4x 6.5x Purchased MRB asset (1) (2) (4) 9,427 Discounted cash flow Lapse rates Withdrawal rates GMIB Utilization rates Non-performance risk Volatility rates - Equity Mortality: Ages 0-40 Ages 41-60 Ages 61-115 0.21% - 12.38% 0.07% - 14.97% 0.04% - 66.21% 35 bps - 97 bps 11% - 28% 0.01% - 0.18% 0.07% - 0.53% 0.33% - 42.00% 1.79% 0.46% 7.44% 45 bps 23% 3.07% (same for all ages) (same for all ages) Liabilities: AB Contingent consideration payable $ 253 Discounted cash flow Expected revenue growth rates Discount rate 2.0% - 83.9% 1.9% - 10.4% 10.3% 4.6% Direct MRB (1) (2) (3) (4) 14,021 Discounted cash flow Non-performance risk Lapse rates Withdrawal rates Annuitization rates Mortality: Ages 0-40 Ages 41-60 Ages 61-115 118 bps 0.21% - 29.37% 0.00% - 14.97% 0.04% - 100.00% 0.01% - 0.18% 0.07% - 0.53% 0.33% - 42.00% 118 bps 3.07% 0.64% 5.38% 2.50% (same for all ages) (same for all ages) ______________ (1) Mortality rates vary by age and demographic characteristic such as gender and benefits elected with the policy. Mortality rate assumptions are based on a combination of company and industry experience. A mortality improvement assumption is also applied. For any given contract, mortality rates vary throughout the period over which cash flows are projected for purposes of valuating the embedded derivatives. (2) Lapses and pro-rata withdrawal rates were developed as a function of the policy account value. Dollar for dollar withdrawal rates were developed as a function of the dollar for dollar threshold, the dollar for dollar limit. Utilization rates were developed as a function of the benefit base. (3) MRB liabilities are shown net of MRB assets. Net amount is made up of $14.6 billion of MRB liabilities and $591 million of MRB assets. (4) Includes Legacy and Core products. |
Schedule of Fair Value Disclosure Financial Instruments Not Carried At Fair Value | The carrying values and fair values for financial instruments not otherwise disclosed in Note 3 and Note 4 of the Notes to these Consolidated Financial Statements were as follows: Carrying Values and Fair Values for Financial Instruments Not Otherwise Disclosed Carrying Fair Value Level 1 Level 2 Level 3 Total (in millions) March 31, 2024: Mortgage loans on real estate $ 18,570 $ — $ — $ 16,794 $ 16,794 Policy loans $ 4,191 $ — $ — $ 4,442 $ 4,442 Policyholders’ liabilities: Investment contracts $ 1,608 $ — $ — $ 1,559 $ 1,559 FHLB funding agreements $ 7,168 $ — $ 7,086 $ — $ 7,086 FABN funding agreements $ 6,252 $ — $ 5,839 $ — $ 5,839 Funding agreement-backed commercial paper (FABCP) $ 663 $ — $ 675 $ — $ 675 Long-term debt $ 3,821 $ — $ 3,700 $ — $ 3,700 Separate Accounts liabilities $ 11,246 $ — $ — $ 11,246 $ 11,246 December 31, 2023: Mortgage loans on real estate $ 18,171 $ — $ — $ 16,471 $ 16,471 Policy loans $ 4,158 $ — $ — $ 4,485 $ 4,485 Policyholders’ liabilities: Investment contracts $ 1,663 $ — $ — $ 1,634 $ 1,634 FHLB funding agreements $ 7,618 $ — $ 7,567 $ — $ 7,567 FABN funding agreements $ 6,267 $ — $ 5,840 $ — $ 5,840 Funding agreement-backed commercial paper (FABCP) $ 939 $ — $ 948 $ — $ 948 Long-term debt $ 3,820 $ — $ 3,742 $ — $ 3,742 Separate Accounts liabilities $ 10,715 $ — $ — $ 10,715 $ 10,715 |
LIABILITIES FOR FUTURE POLICY_2
LIABILITIES FOR FUTURE POLICYHOLDER BENEFITS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Insurance [Abstract] | |
Schedule of Policyholder Account Balance and Liability for Unpaid Claims and Claims Adjustment Expense | The following table reconciles the net liability for future policy benefits and liability of death benefits to the liability for future policy benefits in the consolidated balance sheets: March 31, 2024 December 31, 2023 (in millions) Reconciliation Term $ 1,316 $ 1,348 Individual Retirement - Payout 820 844 Legacy - Payout 3,767 3,620 Group Pension - Benefit Reserve & DPL 473 490 Health 1,450 1,505 UL 1,194 1,193 Subtotal 9,020 9,000 Whole Life Closed Block and Open Block products 5,384 5,444 Other (1) 948 970 Future policyholder benefits total 15,352 15,414 Other policyholder funds and dividends payable 1,972 1,949 Total $ 17,324 $ 17,363 _____________ (1) Primarily consists of future policy benefits related to Protective Life and Annuity, Assumed Life and Disability, Group Life Run off, Variable Interest Sensitive Life rider and Employee Benefits. |
Schedule of Policyholder Account Balance | The following table summarizes balances and changes in the liability for future policy benefits for nonparticipating traditional and limited pay contracts: Three Months Ended March 31, 2024 Three Months Ended March 31, 2023 Protection Solutions Individual Retirement Legacy Corporate & Other Protection Solutions Individual Retirement Legacy Corporate & Other Term Payout Payout Group Pension Health Term Payout Payout Group Pension Health (in millions) Present Value of Expected Net Premiums Balance, beginning of period $ 2,133 $ — $ — $ — $ (21) $ 2,100 $ — $ — $ — $ (5) Beginning balance at original discount rate 2,058 — — — (22) 2,078 — — — (5) Effect of changes in cash flow assumptions (18) — — — — 8 — — — — Effect of actual variances from expected experience (18) — — — 1 3 — — — (6) Adjusted beginning of period balance 2,022 — — — (21) 2,089 — — — (11) Issuances 11 — — — — 15 — — — — Interest accrual 25 — — — — 25 — — — — Net premiums collected (49) — — — 1 (51) — — — 1 Ending Balance at original discount rate 2,009 — — — (20) 2,078 — — — (10) Effect of changes in discount rate assumptions 17 — — — 1 82 — — — — Balance, end of period $ 2,026 $ — $ — $ — $ (19) $ 2,160 $ — $ — $ — $ (10) Three Months Ended March 31, 2024 Three Months Ended March 31, 2023 Protection Solutions Individual Retirement Legacy Corporate & Other Protection Solutions Individual Retirement Legacy Corporate & Other Term Payout Payout Group Pension Health Term Payout Payout Group Pension Health (in millions) Present Value of Expected Future Policy Benefits Balance, beginning of period $ 3,480 $ 844 $ 3,620 $ 490 $ 1,484 $ 3,465 $ 828 $ 2,689 $ 523 $ 1,553 Beginning balance of original discount rate 3,330 840 3,840 536 1,672 3,391 845 3,024 583 1,795 Effect of changes in cash flow assumptions (20) (1) — — — 9 — — — — Effect of actual variances from expected experience (23) (1) (2) 1 1 4 1 — (1) (7) Adjusted beginning of period balance 3,287 838 3,838 537 1,673 3,404 846 3,024 582 1,788 Issuances 12 11 269 — — 16 15 222 — — Interest accrual 41 10 35 5 14 42 10 21 5 15 Benefits payments (64) (23) (89) (16) (41) (95) (23) (65) (17) (33) Ending Balance at original discount rate 3,276 836 4,053 526 1,646 3,367 848 3,202 570 1,770 Effect of changes in discount rate assumptions 65 (16) (286) (53) (215) 164 6 (258) (48) (197) Balance, end of period $ 3,341 $ 820 $ 3,767 $ 473 $ 1,431 $ 3,531 $ 854 $ 2,944 $ 522 $ 1,573 Impact of flooring LFPB at zero 1 — — — — — — — — — Net liability for future policy benefits $ 1,316 820 3,767 473 1,450 1,371 854 2,944 522 1,583 Less: Reinsurance recoverable 24 (1) (1,068) — (1,147) 27 — (589) — (1,258) Net liability for future policy benefits, after reinsurance recoverable $ 1,340 $ 819 $ 2,699 $ 473 $ 303 $ 1,398 $ 854 $ 2,355 $ 522 $ 325 Weighted-average duration of liability for future policyholder benefits (years) 6.9 9.3 7.6 7.0 8.6 7.0 9.4 7.9 7.1 8.7 The following table reconciles the policyholders account balances to the policyholders’ account balance liability in the consolidated balance sheets: March 31, 2024 December 31, 2023 (in millions) Policyholders’ account balance reconciliation Protection Solutions Universal Life $ 5,163 $ 5,202 Variable Universal Life 4,886 4,862 Legacy Segment GMxB Legacy 616 618 Individual Retirement GMxB Core 22 36 SCS 54,373 49,002 EQUI-VEST Individual 2,242 2,322 Group Retirement EQUI-VEST Group 11,430 11,563 Momentum 590 608 Other (1) (2) 6,787 6,570 Balance (exclusive of Funding Agreements) 86,109 80,783 Funding Agreements (2) 14,137 14,890 Balance, end of period $ 100,246 $ 95,673 _____________ (1) Primarily reflects products IR Payout, IR Other, Indexed Universal Life, Investment Edge, Group Pension, Closed Block and Corporate and Other. (2) Balances as of December 31, 2023 were revised from previously filed financial statements. The following table summarizes the balances and changes in policyholder’s account balances: Three Months Ended March 31, 2024 Protection Solutions Legacy Individual Retirement Group Retirement Universal Life Variable Universal Life GMxB Legacy GMxB Core SCS (1) EQUI-VEST Individual EQUI-VEST Group Momentum (Dollars in millions) Balance, beginning of period $ 5,202 $ 4,862 $ 618 $ 36 $ 49,002 $ 2,322 $ 11,563 $ 608 Premiums received 166 27 19 58 5 7 151 18 Policy charges (182) (64) 18 (6) (4) — (1) — Surrenders and withdrawals (20) (20) (22) (8) (953) (91) (443) (30) Benefit payments (58) (19) (24) (1) (72) (15) (17) (1) Net transfers from (to) separate account — 48 1 (59) 3,175 2 81 (8) Interest credited (2) 55 52 6 2 3,220 17 96 3 Other — — — — — — — — Balance, end of period $ 5,163 $ 4,886 $ 616 $ 22 $ 54,373 $ 2,242 $ 11,430 $ 590 Weighted-average crediting rate 3.79% 3.73% 2.71% 1.65% N/A 2.98% 2.65% 2.33% Net amount at risk (3) $ 34,991 $ 115,499 $ 19,673 $ 2,764 $ — $ 104 $ 6 $ — Cash surrender value $ 3,405 $ 3,186 $ 550 $ 258 $ 50,667 $ 2,235 $ 11,368 $ 591 ______________ (1) SCS sales are recorded as a Separate Account liability until they are swept into the General Account. This sweep is recorded as Net Transfers from (to) separate account. (2) SCS and EQUI-VEST Group includes amounts related to the change in embedded derivative. (3) For life insurance products the net amount at risk is death benefit less account value for the policyholder. For variable annuity products the net amount at risk is the maximum GMxB NAR for the policyholder. Three Months Ended March 31, 2023 Protection Solutions Legacy Individual Retirement Group Retirement Universal Life Variable Universal Life GMxB Legacy GMxB Core SCS (1) EQUI-VEST Individual EQUI-VEST Group Momentum (Dollars in millions) Balance, beginning of period $ 5,340 $ 4,909 $ 688 $ 69 $ 35,702 $ 2,652 $ 12,045 $ 702 Premiums received 184 38 20 46 — 11 148 19 Policy charges (194) (65) 19 (4) (1) — (1) — Surrenders and withdrawals (18) (1) (25) (8) (607) (94) (405) (30) Benefit payments (76) (40) (24) (1) (59) (20) (17) (2) Net transfers from (to) separate account — (45) — (49) 1,982 3 69 (9) Interest credited (2) 55 55 7 2 1,620 19 102 3 Other — — — — — 3 11 — Balance, end of period $ 5,291 $ 4,851 $ 685 $ 55 $ 38,637 $ 2,574 $ 11,952 $ 683 Weighted-average crediting rate 3.64% 3.81% 1.78% 1.05% 1.12% 3.09% 2.99% 2.03% Net amount at risk (3) $ 37,031 $ 114,419 $ 21,472 $ 3,287 $ 43 $ 128 $ 58 $ — Cash surrender value $ 3,475 $ 3,293 $ 957 $ 284 $ 35,286 $ 2,567 $ 11,871 $ 684 ______________ (1) SCS sales are recorded as a Separate Account liability until they are swept into the General Account. This sweep is recorded as Net Transfers from (to) separate account. (2) SCS and EQUI-VEST includes amounts related to the change in embedded derivative. (3) For life insurance products, the net amount at risk is the death benefit less account value for the policyholder. For variable annuity products, the net amount at risk is the maximum GMxB NAR for the policyholder. The following table reconciles the Separate Account liabilities to the Separate Account liability balance in the consolidated balance sheets: March 31, 2024 December 31, 2023 (in millions) Separate Account Reconciliation Protection Solutions Variable Universal Life $ 17,007 $ 15,821 Legacy Segment GMxB Legacy 34,860 33,794 Individual Retirement GMxB Core 30,820 29,829 EQUI-VEST Individual 4,826 4,582 Investment Edge 4,524 4,275 Group Retirement EQUI-VEST Group 29,018 26,959 Momentum 4,706 4,421 Other (1) 7,974 7,570 Total $ 133,735 $ 127,251 ______________ (1) Primarily reflects Corporate and Other products and Group Retirement products including Association and Group Retirement Other. The following table presents the balances of and changes in Separate Account liabilities: Three Months Ended March 31, 2024 Protection Solutions Legacy Individual Retirement Group Retirement VUL GMxB Legacy GMxB Core EQUI-VEST Individual Investment Edge EQUI-VEST Group Momentum (in millions) Balance, beginning of period $ 15,821 $ 33,794 $ 29,829 $ 4,582 $ 4,275 $ 26,959 $ 4,421 Premiums and deposits 306 54 504 18 310 565 181 Policy charges (143) (168) (115) (1) — (4) (6) Surrenders and withdrawals (142) (812) (820) (129) (135) (542) (208) Benefit payments (16) (196) (78) (15) (5) (17) (4) Investment performance (1) 1,229 2,189 1,442 373 258 2,138 314 Net transfers from (to) General Account (48) (1) 58 (2) (179) (81) 8 Other charges — — — — — — — Balance, end of period $ 17,007 $ 34,860 $ 30,820 $ 4,826 $ 4,524 $ 29,018 $ 4,706 Cash surrender value $ 16,648 $ 34,595 $ 29,979 $ 4,792 $ 4,437 $ 28,733 $ 4,699 _____________ (1) Investment performance is reflected net of M&E fees. Three Months Ended March 31, 2023 Protection Solutions Legacy Individual Retirement Group Retirement VUL GMxB Legacy GMxB Core EQUI-VEST Individual Investment Edge EQUI-VEST Group Momentum (in millions) Balance, beginning of period $ 13,187 $ 32,616 $ 27,772 $ 4,161 $ 3,798 $ 22,393 $ 3,885 Premiums and deposits 287 65 256 26 253 531 178 Policy charges (137) (178) (115) (1) — (4) (5) Surrenders and withdrawals (117) (660) (559) (100) (95) (359) (157) Benefit payments (24) (192) (56) (14) (12) (15) (3) Investment performance (1) 843 1,808 1,202 269 175 1,438 235 Net transfers from (to) General Account 45 — 49 (3) (140) (69) 9 Other charges — — — 4 — 25 — Balance, end of period $ 14,084 $ 33,459 $ 28,549 $ 4,342 $ 3,979 $ 23,940 $ 4,142 Cash surrender value $ 13,755 $ 33,181 $ 27,680 $ 4,310 $ 3,885 $ 23,702 $ 4,136 ______________ (1) Investment performance is reflected net of M&E fees. |
Schedule of Liability for Future Policy Benefits, Undiscounted and Discounted Expected Gross Premiums and Expected Future Benefits and Expenses | The following table provides the amount of undiscounted and discounted expected gross premiums and expected future benefits and expenses related to nonparticipating traditional and limited payment contracts: March 31, 2024 December 31, 2023 (in millions) Term Expected future benefit payments and expenses (undiscounted) $ 5,768 $ 5,878 Expected future gross premiums (undiscounted) 6,900 6,979 Expected future benefit payments and expenses (discounted; AOCI basis) 3,341 3,480 Expected future gross premiums (discounted; AOCI basis) 3,738 3,879 March 31, 2024 December 31, 2023 (in millions) Payout - Legacy Expected future benefit payments and expenses (undiscounted) 5,530 5,204 Expected future gross premiums (undiscounted) — — Expected future benefit payments and expenses (discounted; AOCI basis) 3,682 3,538 Expected future gross premiums (discounted; AOCI basis) — — Payout Expected future benefit payments and expenses (undiscounted) 1,414 1,426 Expected future gross premiums (undiscounted) — — Expected future benefit payments and expenses (discounted; AOCI basis) 786 812 Expected future gross premiums (discounted; AOCI basis) — — Group Pension Expected future benefit payments and expenses (undiscounted) 654 668 Expected future gross premiums (undiscounted) — — Expected future benefit payments and expenses (discounted; AOCI basis) 454 471 Expected future gross premiums (discounted; AOCI basis) — — Health Expected future benefit payments and expenses (undiscounted) 2,278 2,318 Expected future gross premiums (undiscounted) 82 85 Expected future benefit payments and expenses (discounted; AOCI basis) 1,415 1,468 Expected future gross premiums (discounted; AOCI basis) $ 64 $ 68 |
Schedule of Liability for Future Policy Benefits, Revenue and Interest Accretion | The table below summarizes the revenue and interest related to nonparticipating traditional and limited payment contracts: Three Months Ended March 31, 2024 2023 2024 2023 Gross Premium Interest Accretion (in millions) Revenue and Interest Accretion Term $ 88 $ 70 $ 16 $ 17 Payout - Legacy 59 27 39 21 Payout 9 15 10 10 Group Pension — — 5 5 Health 3 2 14 15 Total $ 159 $ 114 $ 84 $ 68 |
Schedule of Liability for Future Policy Benefits, Weighted Average Interest Rates | The following table provides the weighted average interest rates for the liability for future policy benefits: March 31, 2024 December 31, 2023 Weighted Average Interest Rate Term Interest accretion rate 5.6 % 5.6 % Current discount rate 5.1 % 4.8 % Payout - Legacy Interest accretion rate 4.1 % 4.0 % Current discount rate 5.1 % 4.9 % Payout Interest accretion rate 5.0 % 5.0 % Current discount rate 5.2 % 4.9 % Group Pension Interest accretion rate 3.3 % 3.3 % Current discount rate 5.1 % 4.8 % Health Interest accretion rate 3.4 % 3.4 % Current discount rate 5.2 % 4.9 % |
Schedule of Balances of and Changes in Additional Liabilities Related to Insurance Guarantees | The following table provides the balance, changes in and the weighted average durations of the additional insurance liabilities: Three Months Ended March 31, 2024 2023 Protection Solutions UL (Dollars in millions) Balance, beginning of period $ 1,193 $ 1,109 Beginning balance before AOCI adjustments 1,230 1,135 Effect of changes in interest rate & cash flow assumptions and model changes — — Effect of actual variances from expected experience 1 6 Adjusted beginning of period balance 1,231 1,141 Interest accrual 14 13 Net assessments collected 18 18 Benefit payments (21) (18) Ending balance before shadow reserve adjustments 1,242 1,154 Effect of reserve adjustment recorded in AOCI (48) (21) Balance, end of period $ 1,194 $ 1,133 Net liability for additional liability $ 1,194 $ 1,133 Less: Reinsurance recoverable — — Net liability for additional liability, after reinsurance recoverable $ 1,194 $ 1,133 Weighted-average duration of additional liability - death benefit (years) 19.7 21.6 The following tables provide the revenue, interest and weighted average interest rates, related to the additional insurance liabilities: Three Months Ended March 31, 2024 2023 2024 2023 Assessments Interest Accretion (in millions) Revenue and Interest Accretion UL $ 164 $ 172 $ 14 $ 13 Total $ 164 $ 172 $ 14 $ 13 Three Months Ended March 31, 2024 2023 Weighted Average Interest Rate UL 4.5 % 4.5 % Interest accretion rate 4.5 % 4.5 % |
MARKET RISK BENEFITS (Tables)
MARKET RISK BENEFITS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Market Risk Benefit [Abstract] | |
Schedule of Market Risk Benefit, Activity | The following table presents the balances and changes to the balances for MRBs for the GMxB benefits on deferred variable annuities: Three Months Ended March 31, 2024 2023 Individual Retirement Legacy Individual Retirement Legacy GMxB Core GMxB Legacy Purchased MRB Net Legacy GMxB Core GMxB Legacy Purchased MRB Net Legacy (in millions) Balance, beginning of period $ 590 $ 13,418 $ (9,420) $ 3,998 $ 530 $ 14,699 $ (10,415) $ 4,284 Balance BOP before changes in the instrument specific credit risk 322 13,028 (9,387) 3,641 529 15,314 (10,358) 4,956 Model changes and effect of changes in cash flow assumptions (3) (2) (8) 150 142 — — — — Actual market movement effect (160) (788) 393 (395) (211) (744) 387 (357) Interest accrual 16 161 (113) 48 18 197 (153) 44 Attributed fees accrued (1) 95 200 (80) 120 95 209 (83) 126 Benefit payments (10) (321) 169 (152) (12) (342) 185 (157) Actual policyholder behavior different from expected behavior 5 (23) 9 (14) 7 21 (18) 3 Changes in future economic assumptions (194) (923) 553 (370) 125 944 (530) 414 Issuances (2) — — — (1) — — — Balance EOP before changes in the instrument-specific credit risk 70 11,326 (8,306) 3,020 550 15,599 (10,570) 5,029 Changes in the instrument-specific credit risk (2) 245 375 (27) 348 (233) (1,517) (99) (1,616) Balance, end of period $ 315 $ 11,701 $ (8,333) $ 3,368 $ 317 $ 14,082 $ (10,669) $ 3,413 Weighted-average age of policyholders (years) 64.6 73.2 72.8 N/A 63.7 72.8 72.2 N/A Net amount at risk $ 2,764 $ 19,673 $ 10,407 N/A $ 3,287 $ 21,472 $ 10,045 N/A ______________ (1) Attributed fees accrued represents the portion of the fees needed to fund future GMxB claims. (2) Changes are recorded in OCI except for reinsurer credit which is reflected in the consolidated income statement. (3) Includes the impact primarily of a non-affiliated recapture of reinsurance completed in the first quarter of 2024. The following table reconciles MRBs by the amounts in an asset position and amounts in a liability position to the MRB amounts in the consolidated balance sheets: March 31, 2024 December 31, 2023 Direct Asset Direct Liability Net Direct MRB Purchased MRB Total Direct Asset Direct Liability Net Direct MRB Purchased MRB Total (in millions) Individual Retirement GMxB Core $ (558) $ 873 $ 315 $ — $ 315 $ (418) $ 1,008 $ 590 $ — $ 590 Legacy Segment GMxB Legacy (170) 11,871 11,701 (8,333) 3,368 (102) 13,520 13,418 (9,420) 3,998 Other (1) (90) 70 (20) (4) (24) (71) 84 13 (7) 6 Total $ (818) $ 12,814 $ 11,996 $ (8,337) $ 3,659 $ (591) $ 14,612 $ 14,021 $ (9,427) $ 4,594 ______________ (1) Other primarily includes SCS. |
POLICYHOLDER ACCOUNT BALANCES (
POLICYHOLDER ACCOUNT BALANCES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Policyholder Account Balance [Abstract] | |
Schedule of Policyholder Account Balance | The following table summarizes balances and changes in the liability for future policy benefits for nonparticipating traditional and limited pay contracts: Three Months Ended March 31, 2024 Three Months Ended March 31, 2023 Protection Solutions Individual Retirement Legacy Corporate & Other Protection Solutions Individual Retirement Legacy Corporate & Other Term Payout Payout Group Pension Health Term Payout Payout Group Pension Health (in millions) Present Value of Expected Net Premiums Balance, beginning of period $ 2,133 $ — $ — $ — $ (21) $ 2,100 $ — $ — $ — $ (5) Beginning balance at original discount rate 2,058 — — — (22) 2,078 — — — (5) Effect of changes in cash flow assumptions (18) — — — — 8 — — — — Effect of actual variances from expected experience (18) — — — 1 3 — — — (6) Adjusted beginning of period balance 2,022 — — — (21) 2,089 — — — (11) Issuances 11 — — — — 15 — — — — Interest accrual 25 — — — — 25 — — — — Net premiums collected (49) — — — 1 (51) — — — 1 Ending Balance at original discount rate 2,009 — — — (20) 2,078 — — — (10) Effect of changes in discount rate assumptions 17 — — — 1 82 — — — — Balance, end of period $ 2,026 $ — $ — $ — $ (19) $ 2,160 $ — $ — $ — $ (10) Three Months Ended March 31, 2024 Three Months Ended March 31, 2023 Protection Solutions Individual Retirement Legacy Corporate & Other Protection Solutions Individual Retirement Legacy Corporate & Other Term Payout Payout Group Pension Health Term Payout Payout Group Pension Health (in millions) Present Value of Expected Future Policy Benefits Balance, beginning of period $ 3,480 $ 844 $ 3,620 $ 490 $ 1,484 $ 3,465 $ 828 $ 2,689 $ 523 $ 1,553 Beginning balance of original discount rate 3,330 840 3,840 536 1,672 3,391 845 3,024 583 1,795 Effect of changes in cash flow assumptions (20) (1) — — — 9 — — — — Effect of actual variances from expected experience (23) (1) (2) 1 1 4 1 — (1) (7) Adjusted beginning of period balance 3,287 838 3,838 537 1,673 3,404 846 3,024 582 1,788 Issuances 12 11 269 — — 16 15 222 — — Interest accrual 41 10 35 5 14 42 10 21 5 15 Benefits payments (64) (23) (89) (16) (41) (95) (23) (65) (17) (33) Ending Balance at original discount rate 3,276 836 4,053 526 1,646 3,367 848 3,202 570 1,770 Effect of changes in discount rate assumptions 65 (16) (286) (53) (215) 164 6 (258) (48) (197) Balance, end of period $ 3,341 $ 820 $ 3,767 $ 473 $ 1,431 $ 3,531 $ 854 $ 2,944 $ 522 $ 1,573 Impact of flooring LFPB at zero 1 — — — — — — — — — Net liability for future policy benefits $ 1,316 820 3,767 473 1,450 1,371 854 2,944 522 1,583 Less: Reinsurance recoverable 24 (1) (1,068) — (1,147) 27 — (589) — (1,258) Net liability for future policy benefits, after reinsurance recoverable $ 1,340 $ 819 $ 2,699 $ 473 $ 303 $ 1,398 $ 854 $ 2,355 $ 522 $ 325 Weighted-average duration of liability for future policyholder benefits (years) 6.9 9.3 7.6 7.0 8.6 7.0 9.4 7.9 7.1 8.7 The following table reconciles the policyholders account balances to the policyholders’ account balance liability in the consolidated balance sheets: March 31, 2024 December 31, 2023 (in millions) Policyholders’ account balance reconciliation Protection Solutions Universal Life $ 5,163 $ 5,202 Variable Universal Life 4,886 4,862 Legacy Segment GMxB Legacy 616 618 Individual Retirement GMxB Core 22 36 SCS 54,373 49,002 EQUI-VEST Individual 2,242 2,322 Group Retirement EQUI-VEST Group 11,430 11,563 Momentum 590 608 Other (1) (2) 6,787 6,570 Balance (exclusive of Funding Agreements) 86,109 80,783 Funding Agreements (2) 14,137 14,890 Balance, end of period $ 100,246 $ 95,673 _____________ (1) Primarily reflects products IR Payout, IR Other, Indexed Universal Life, Investment Edge, Group Pension, Closed Block and Corporate and Other. (2) Balances as of December 31, 2023 were revised from previously filed financial statements. The following table summarizes the balances and changes in policyholder’s account balances: Three Months Ended March 31, 2024 Protection Solutions Legacy Individual Retirement Group Retirement Universal Life Variable Universal Life GMxB Legacy GMxB Core SCS (1) EQUI-VEST Individual EQUI-VEST Group Momentum (Dollars in millions) Balance, beginning of period $ 5,202 $ 4,862 $ 618 $ 36 $ 49,002 $ 2,322 $ 11,563 $ 608 Premiums received 166 27 19 58 5 7 151 18 Policy charges (182) (64) 18 (6) (4) — (1) — Surrenders and withdrawals (20) (20) (22) (8) (953) (91) (443) (30) Benefit payments (58) (19) (24) (1) (72) (15) (17) (1) Net transfers from (to) separate account — 48 1 (59) 3,175 2 81 (8) Interest credited (2) 55 52 6 2 3,220 17 96 3 Other — — — — — — — — Balance, end of period $ 5,163 $ 4,886 $ 616 $ 22 $ 54,373 $ 2,242 $ 11,430 $ 590 Weighted-average crediting rate 3.79% 3.73% 2.71% 1.65% N/A 2.98% 2.65% 2.33% Net amount at risk (3) $ 34,991 $ 115,499 $ 19,673 $ 2,764 $ — $ 104 $ 6 $ — Cash surrender value $ 3,405 $ 3,186 $ 550 $ 258 $ 50,667 $ 2,235 $ 11,368 $ 591 ______________ (1) SCS sales are recorded as a Separate Account liability until they are swept into the General Account. This sweep is recorded as Net Transfers from (to) separate account. (2) SCS and EQUI-VEST Group includes amounts related to the change in embedded derivative. (3) For life insurance products the net amount at risk is death benefit less account value for the policyholder. For variable annuity products the net amount at risk is the maximum GMxB NAR for the policyholder. Three Months Ended March 31, 2023 Protection Solutions Legacy Individual Retirement Group Retirement Universal Life Variable Universal Life GMxB Legacy GMxB Core SCS (1) EQUI-VEST Individual EQUI-VEST Group Momentum (Dollars in millions) Balance, beginning of period $ 5,340 $ 4,909 $ 688 $ 69 $ 35,702 $ 2,652 $ 12,045 $ 702 Premiums received 184 38 20 46 — 11 148 19 Policy charges (194) (65) 19 (4) (1) — (1) — Surrenders and withdrawals (18) (1) (25) (8) (607) (94) (405) (30) Benefit payments (76) (40) (24) (1) (59) (20) (17) (2) Net transfers from (to) separate account — (45) — (49) 1,982 3 69 (9) Interest credited (2) 55 55 7 2 1,620 19 102 3 Other — — — — — 3 11 — Balance, end of period $ 5,291 $ 4,851 $ 685 $ 55 $ 38,637 $ 2,574 $ 11,952 $ 683 Weighted-average crediting rate 3.64% 3.81% 1.78% 1.05% 1.12% 3.09% 2.99% 2.03% Net amount at risk (3) $ 37,031 $ 114,419 $ 21,472 $ 3,287 $ 43 $ 128 $ 58 $ — Cash surrender value $ 3,475 $ 3,293 $ 957 $ 284 $ 35,286 $ 2,567 $ 11,871 $ 684 ______________ (1) SCS sales are recorded as a Separate Account liability until they are swept into the General Account. This sweep is recorded as Net Transfers from (to) separate account. (2) SCS and EQUI-VEST includes amounts related to the change in embedded derivative. (3) For life insurance products, the net amount at risk is the death benefit less account value for the policyholder. For variable annuity products, the net amount at risk is the maximum GMxB NAR for the policyholder. The following table reconciles the Separate Account liabilities to the Separate Account liability balance in the consolidated balance sheets: March 31, 2024 December 31, 2023 (in millions) Separate Account Reconciliation Protection Solutions Variable Universal Life $ 17,007 $ 15,821 Legacy Segment GMxB Legacy 34,860 33,794 Individual Retirement GMxB Core 30,820 29,829 EQUI-VEST Individual 4,826 4,582 Investment Edge 4,524 4,275 Group Retirement EQUI-VEST Group 29,018 26,959 Momentum 4,706 4,421 Other (1) 7,974 7,570 Total $ 133,735 $ 127,251 ______________ (1) Primarily reflects Corporate and Other products and Group Retirement products including Association and Group Retirement Other. The following table presents the balances of and changes in Separate Account liabilities: Three Months Ended March 31, 2024 Protection Solutions Legacy Individual Retirement Group Retirement VUL GMxB Legacy GMxB Core EQUI-VEST Individual Investment Edge EQUI-VEST Group Momentum (in millions) Balance, beginning of period $ 15,821 $ 33,794 $ 29,829 $ 4,582 $ 4,275 $ 26,959 $ 4,421 Premiums and deposits 306 54 504 18 310 565 181 Policy charges (143) (168) (115) (1) — (4) (6) Surrenders and withdrawals (142) (812) (820) (129) (135) (542) (208) Benefit payments (16) (196) (78) (15) (5) (17) (4) Investment performance (1) 1,229 2,189 1,442 373 258 2,138 314 Net transfers from (to) General Account (48) (1) 58 (2) (179) (81) 8 Other charges — — — — — — — Balance, end of period $ 17,007 $ 34,860 $ 30,820 $ 4,826 $ 4,524 $ 29,018 $ 4,706 Cash surrender value $ 16,648 $ 34,595 $ 29,979 $ 4,792 $ 4,437 $ 28,733 $ 4,699 _____________ (1) Investment performance is reflected net of M&E fees. Three Months Ended March 31, 2023 Protection Solutions Legacy Individual Retirement Group Retirement VUL GMxB Legacy GMxB Core EQUI-VEST Individual Investment Edge EQUI-VEST Group Momentum (in millions) Balance, beginning of period $ 13,187 $ 32,616 $ 27,772 $ 4,161 $ 3,798 $ 22,393 $ 3,885 Premiums and deposits 287 65 256 26 253 531 178 Policy charges (137) (178) (115) (1) — (4) (5) Surrenders and withdrawals (117) (660) (559) (100) (95) (359) (157) Benefit payments (24) (192) (56) (14) (12) (15) (3) Investment performance (1) 843 1,808 1,202 269 175 1,438 235 Net transfers from (to) General Account 45 — 49 (3) (140) (69) 9 Other charges — — — 4 — 25 — Balance, end of period $ 14,084 $ 33,459 $ 28,549 $ 4,342 $ 3,979 $ 23,940 $ 4,142 Cash surrender value $ 13,755 $ 33,181 $ 27,680 $ 4,310 $ 3,885 $ 23,702 $ 4,136 ______________ (1) Investment performance is reflected net of M&E fees. |
Schedule of Policyholder Account Balance, Guaranteed Minimum Crediting Rate | The following table presents the account values by range of guaranteed minimum crediting rates and the related range of the difference in basis points, between rates being credited policyholders and the respective guaranteed minimums: March 31, 2024 Product Range of Guaranteed Minimum Crediting Rate At Guaranteed Minimum 1 Basis Point - 50 Basis Points Above 51 Basis Points - 150 Basis Points Above Greater Than 150 Basis Points Above Total ( in millions) Protection Solutions Universal Life 0.00% - 1.50% $ — $ — $ — $ 6 $ 6 1.51% - 2.50% 38 89 415 485 1,026 Greater than2.50% 3,484 617 — — 4,101 Total $ 3,521 $ 707 $ 415 $ 491 $ 5,133 Variable Universal Life 0.00% - 1.50% $ 13 $ 23 $ 69 $ 16 $ 121 1.51% - 2.50% 29 457 74 — 561 Greater than 2.50% 3,703 — 14 5 3,723 Total $ 3,746 $ 480 $ 157 $ 21 $ 4,404 Legacy Segment March 31, 2024 Product Range of Guaranteed Minimum Crediting Rate At Guaranteed Minimum 1 Basis Point - 50 Basis Points Above 51 Basis Points - 150 Basis Points Above Greater Than 150 Basis Points Above Total ( in millions) GMxB Legacy 0.00% - 1.50% $ 72 $ 16 $ — $ — $ 87 1.51% - 2.50% 20 — — — 20 Greater than 2.50% 444 — — — 444 Total $ 536 $ 16 $ — $ — $ 551 Individual Retirement GMxB Core 0.00% - 1.50% $ 12 $ 184 $ — $ — $ 196 1.51% - 2.50% 12 — — — 12 Greater than 2.50% 57 — — — 57 Total $ 81 $ 184 $ — $ — $ 265 EQUI-VEST Individual 0.00% - 1.50% $ 47 $ 213 $ — $ — $ 259 1.51% - 2.50% 41 — — — 41 Greater than 2.50% 1,940 — — — 1,940 Total $ 2,027 $ 213 $ — $ — $ 2,240 Group Retirement EQUI-VEST 0.00% - 1.50% $ 756 $ 2,356 $ 36 $ 289 $ 3,436 1.51% - 2.50% 347 — — — 347 Greater than 2.50% 6,448 — — — 6,449 Total $ 7,551 $ 2,356 $ 36 $ 289 $ 10,232 Momentum 0.00% - 1.50% $ — $ 13 $ 318 $ 53 $ 384 1.51% - 2.50% 132 1 — — 133 Greater than 2.50% 68 — 5 — 72 Total $ 199 $ 14 $ 322 $ 53 $ 589 December 31, 2023 Product Range of Guaranteed Minimum Crediting Rate At Guaranteed Minimum 1 Basis Point - 50 Basis Points Above 51 Basis Points - 150 Basis Points Above Greater Than 150 Basis Points Above Total ( in millions) Protection Solutions Universal Life 0.00% - 1.50% $ — $ — $ — $ 6 $ 6 1.51% - 2.50% 61 69 462 430 1,022 Greater than 2.50% 3,515 627 — — 4,142 Total $ 3,576 $ 696 $ 462 $ 436 $ 5,170 Variable Universal Life 0.00% - 1.50% $ 16 $ 33 $ 53 $ 9 $ 111 1.51% - 2.50% 35 495 28 — 558 Greater than 2.50% 3,712 — 13 5 3,730 Total $ 3,763 $ 528 $ 94 $ 14 $ 4,399 Legacy Segment December 31, 2023 Product Range of Guaranteed Minimum Crediting Rate At Guaranteed Minimum 1 Basis Point - 50 Basis Points Above 51 Basis Points - 150 Basis Points Above Greater Than 150 Basis Points Above Total ( in millions) GMxB Legacy 0.00% - 1.50% $ 75 $ 16 $ — $ — $ 91 1.51% - 2.50% 21 — — — 21 Greater than 2.50% 461 — — — 461 Total $ 557 $ 16 $ — $ — $ 573 Individual Retirement GMxB Core 0.00% - 1.50% $ 13 $ 192 $ — $ — $ 205 1.51% - 2.50% 13 — — — 13 Greater than 2.50% 55 — — — 55 Total $ 81 $ 192 $ — $ — $ 273 EQUI-VEST Individual 0.00% - 1.50% $ 49 $ 218 $ — $ — $ 267 1.51% - 2.50% 43 — — — 43 Greater than 2.50% 2,011 — — — 2,011 Total $ 2,103 $ 218 $ — $ — $ 2,321 SCS Products with either a fixed rate or no guaranteed minimum N/A N/A N/A N/A N/A Group Retirement EQUI-VEST Group 0.00% - 1.50% $ 772 $ 2,338 $ 36 $ 315 $ 3,461 1.51% - 2.50% 345 — — — 345 Greater than 2.50% 6,610 — — — 6,610 Total $ 7,727 $ 2,338 $ 36 $ 315 $ 10,416 Momentum 0.00% - 1.50% $ — $ 12 $ 330 $ 53 $ 395 1.51% - 2.50% 138 1 — — 139 Greater than 2.50% 68 — 5 — 73 Total $ 206 $ 13 $ 335 $ 53 $ 607 |
Schedule of Aggregate Fair Value of Separate Account Assets | The following table presents the aggregate fair value of Separate Account assets by major asset category: March 31, 2024 Protection Solutions Individual Retirement Group Retirement Corp & Other Legacy Segment Total (in millions) Asset Type Debt securities $ 46 $ 1 $ 20 $ 6 $ — $ 73 Common Stock 64 35 450 1,713 — 2,262 Mutual Funds 17,419 41,755 35,235 688 34,951 130,048 Bonds and Notes 91 3 1 1,257 — 1,352 Total $ 17,620 $ 41,794 $ 35,706 $ 3,664 $ 34,951 $ 133,735 December 31, 2023 Protection Solutions Individual Retirement Group Retirement Corp & Other Legacy Segment Total (in millions) Asset Type Debt securities $ 48 $ 1 $ 21 $ 6 $ — $ 76 Common Stock 65 34 447 1,667 — 2,213 Mutual Funds 16,199 40,113 32,780 689 33,802 123,583 Bonds and Notes 91 4 1 1,283 — 1,379 Total $ 16,403 $ 40,152 $ 33,249 $ 3,645 $ 33,802 $ 127,251 |
EMPLOYEE BENEFIT PLANS (Tables)
EMPLOYEE BENEFIT PLANS (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Retirement Benefits [Abstract] | |
Schedule of Net Benefit Costs | Components of net periodic pension expense for the Company’s plans were as follows: Three Months Ended March 31, 2024 2023 (in millions) Service cost $ 2 $ 2 Interest cost 30 31 Expected return on assets (37) (39) Prior period service cost amortization (1) (1) Actuarial (gain) loss — — Net amortization 14 9 Net Periodic Pension Expense $ 8 $ 2 |
EQUITY (Tables)
EQUITY (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Equity [Abstract] | |
Schedule of Stock by Class | Preferred stock authorized, issued and outstanding was as follows: March 31, 2024 December 31, 2023 Series Shares Authorized Shares Shares Outstanding Shares Authorized Shares Shares Outstanding Series A 32,000 32,000 32,000 32,000 32,000 32,000 Series B 20,000 20,000 20,000 20,000 20,000 20,000 Series C 12,000 12,000 12,000 12,000 12,000 12,000 Total 64,000 64,000 64,000 64,000 64,000 64,000 |
Schedule of Dividends Declared | Dividends declared per share were as follows: Three Months Ended March 31, 2024 2023 Series A dividends declared $ 328 $ 328 Series B dividends declared $ — $ — Series C dividends declared $ 269 $ 269 Common Stock Dividends declared per share of common stock were as follows: Three Months Ended March 31, 2024 2023 Dividends declared $ 0.22 $ 0.20 |
Schedule of Accumulated Other Comprehensive Income (Loss) | The balances as of March 31, 2024 and December 31, 2023 follow: March 31, 2024 December 31, 2023 (in millions) Unrealized gains (losses) on investments $ (7,183) $ (6,638) Market risk benefits - instrument-specific credit risk component (601) (633) Liability for future policy benefits - current discount rate component 306 182 Defined benefit pension plans (645) (652) Foreign currency translation adjustments (87) (76) Total accumulated other comprehensive income (loss) (8,210) (7,817) Less: Accumulated other comprehensive income (loss) attributable to noncontrolling interest (44) (40) Accumulated other comprehensive income (loss) attributable to Holdings $ (8,166) $ (7,777) |
Schedule of Components of Accumulated Other Comprehensive Income (Loss), Net of Taxes | The components of OCI, net of taxes are as three months ended March 31, 2024 and 2023 follow: Three Months Ended March 31, 2024 2023 (in millions) Change in net unrealized gains (losses) on investments: Net unrealized gains (losses) arising during the period $ (543) $ 1,571 (Gains) losses reclassified into net income (loss) during the period (1) 21 63 Net unrealized gains (losses) on investments (522) 1,634 Adjustments for policyholders’ liabilities, DAC, insurance liability loss recognition and other 9 (8) Change in unrealized gains (losses), net of adjustments (net of deferred income tax expense (benefit) of $(133) and $341) (513) 1,626 Change in LFPB discount rate and MRB credit risk, net of tax Market risk benefits - changes in instrument-specific credit risk (net of deferred income tax expense (benefit) of $7 and $249) 25 938 Liability for future policy benefits - changes in current discount rate (net of deferred income tax expense (benefit) of $26 and $(30) ) 98 (112) Change in defined benefit plans: Reclassification to Net income (loss) of amortization of net prior service credit included in net periodic cost 8 20 Change in defined benefit plans (net of deferred income tax expense (benefit) of $(2), and $(6)) 8 20 Foreign currency translation adjustments: Foreign currency translation gains (losses) arising during the period (11) 6 Foreign currency translation adjustment (11) 6 Total other comprehensive income (loss), net of income taxes (393) 2,478 Less: Other comprehensive income (loss) attributable to noncontrolling interest (4) 2 Other comprehensive income (loss) attributable to Holdings $ (389) $ 2,476 ______________ (1) See “Reclassification adjustment” in Note 3 of the Notes to these Consolidated Financial Statements. Reclassification amounts presented net of income tax expense (benefit) of $(5) million and $(17) million for the three months ended March 31, 2024 and 2023, respectively. |
REDEEMABLE NONCONTROLLING INT_2
REDEEMABLE NONCONTROLLING INTEREST (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Noncontrolling Interest [Abstract] | |
Schedule of Redeemable Noncontrolling Interest | The changes in the components of redeemable noncontrolling interests were as follows: Three Months Ended March 31, 2024 2023 (in millions) Balance, beginning of period $ 770 $ 455 Net earnings (loss) attributable to redeemable noncontrolling interests 18 12 Purchase/change of redeemable noncontrolling interests 203 146 Balance, end of period $ 991 $ 613 |
COMMITMENTS AND CONTINGENT LI_2
COMMITMENTS AND CONTINGENT LIABILITIES (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Commitments and Contingencies Disclosure [Abstract] | |
Schedule of Activity of Funding Agreements | The table below summarizes the Company’s activity of funding agreements with the FHLB. Change in FHLB Funding Agreements during the Three Months Ended March 31, 2024 Outstanding Balance at December 31, 2023 Issued During the Period Repaid During the Period Long-term Agreements Maturing Within One Year Long-term Agreements Maturing Within Five Years Outstanding Balance at March 31, 2024 (in millions) Short-term funding agreements: Due in one year or less $ 6,168 $ 15,193 $ (15,643) $ — $ — $ 5,718 Long-term funding agreements: Due in years two through five 799 — — — — 799 Due in more than five years 648 — — — — 648 Total long-term funding agreements 1,447 — — — — 1,447 Total funding agreements (1) $ 7,615 $ 15,193 $ (15,643) $ — $ — $ 7,165 _____________ (1) The $3 million and $3 million difference between the funding agreements carrying value shown in fair value table for March 31, 2024 and December 31, 2023, respectively, reflects the remaining amortization of a hedge implemented and closed, which locked in the funding agreements borrowing rates. Change in FABN Funding Agreements during the Three Months Ended March 31, 2024 Outstanding Balance at December 31, 2023 Issued During the Period Repaid During the Period Long-term Agreements Maturing Within One Year Long-term Agreements Maturing Within Five Years Foreign Currency Transaction Adjustment Outstanding Balance at March 31, (in millions) Short-term funding agreements: Due in one year or less $ 1,000 $ — $ — $ — $ — $ — $ 1,000 Long-term funding agreements: Due in years two through five 4,984 — — — — (16) 4,968 Due in more than five years 300 — — — — — 300 Total long-term funding agreements 5,284 — — — — (16) 5,268 Total funding agreements (1) $ 6,284 $ — $ — $ — $ — $ (16) $ 6,268 _____________ (1) The $16 million and $17 million difference between the funding agreements notional value shown and carrying value table as of March 31, 2024 and December 31, 2023, respectively, reflects the remaining amortization of the issuance cost of the funding agreements and the foreign currency transaction adjustment. |
BUSINESS SEGMENT INFORMATION (T
BUSINESS SEGMENT INFORMATION (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | The table below presents operating earnings (loss) by segment and Corporate and Other and a reconciliation to net income (loss) attributable to Holdings: Three Months Ended March 31, 2024 2023 (in millions) Net income (loss) attributable to Holdings $ 114 $ 177 Adjustments related to: Variable annuity product features 319 861 Investment (gains) losses 39 87 Net actuarial (gains) losses related to pension and other postretirement benefit obligations 17 9 Other adjustments (1) 91 45 Income tax expense (benefit) related to above adjustments (98) (210) Non-recurring tax items (2) 8 (605) Non-GAAP Operating Earnings $ 490 $ 364 Three Months Ended March 31, 2024 2023 (in millions) Operating earnings (loss) by segment: Individual Retirement $ 228 $ 200 Group Retirement $ 126 $ 89 Investment Management and Research $ 106 $ 99 Protection Solutions $ 41 $ (35) Wealth Management $ 43 $ 32 Legacy $ 51 $ 60 Corporate and Other (3) $ (105) $ (81) ______________ (1) Includes certain gross legal expenses related to the cost of insurance litigation of $106 million for the three months ended March 31, 2024. (2) For the three months ended March, 31 2024, non-recurring tax items reflects the effect of uncertain tax positions for a given audit period and for the three months ended March 31, 2023 primarily includes a decrease of the deferred tax valuation allowance of $614 million. (3) Includes interest expense and financing fees of $56 million and $67 million for the three months ended March 31, 2024 and 2023, respectively. The table below presents revenues by segment and Corporate and Other: Three Months Ended March 31, 2024 2023 (in millions) Segment revenues: Individual Retirement (1) $ 766 $ 588 Group Retirement (1) 292 237 Investment Management and Research (2) 1,093 1,009 Protection Solutions (1) 825 767 Wealth Management (3) 423 362 Legacy (1) 210 206 Corporate and Other (1) 246 281 Eliminations (216) (180) Adjustments related to: Variable annuity product features (319) (861) Investment gains (losses), net (39) (87) Other adjustments to segment revenues (1,051) 35 Total revenues $ 2,230 $ 2,357 ______________ (1) Includes investment expenses charged by AB of $36 million and $38 million for the three months ended March 31, 2024 and 2023, respectively, for services provided to the Company. (2) Inter-segment investment management and other fees of $42 million and $43 million for the three months ended March 31, 2024 and 2023, respectively, are included in segment revenues of the Investment Management and Research segment. (3) Inter-segment distribution fees of $200 million and $175 million for the three months ended March 31, 2024 and 2023, respectively, are included in segment revenues of the Wealth Management segment. Total assets by segment were as follows: March 31, 2024 December 31, 2023 (in millions) Total assets by segment: Individual Retirement $ 94,514 $ 90,805 Group Retirement 49,351 47,260 Investment Management and Research 11,276 11,088 Protection Solutions 40,102 38,933 Wealth Management 199 144 Legacy 49,711 49,487 Corporate and Other 40,424 39,097 Total assets $ 285,577 $ 276,814 |
EARNINGS PER COMMON SHARE (Tabl
EARNINGS PER COMMON SHARE (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The following table presents a reconciliation of net income (loss) and weighted-average common shares used in calculating basic and diluted earnings per common share: Three Months Ended March 31, 2024 2023 (in millions, except per share data) Weighted-average common shares outstanding: Weighted-average common shares outstanding — basic 330.2 361.9 Effect of dilutive potential common shares: Employee share awards (1) 2.5 2.2 Weighted-average common shares outstanding — diluted 332.7 364.1 Net income (loss): Net income (loss) $ 217 $ 266 Less: Net income (loss) attributable to the noncontrolling interest 103 89 Net income (loss) attributable to Holdings 114 177 Less: Preferred stock dividends 14 14 Net income (loss) available to Holdings’ common shareholders $ 100 $ 163 Earnings per common share: Basic $ 0.30 $ 0.45 Diluted $ 0.30 $ 0.45 ______________ (1) Calculated using the treasury stock method. |
HELD-FOR-SALE (Tables)
HELD-FOR-SALE (Tables) | 3 Months Ended |
Mar. 31, 2024 | |
Discontinued Operations and Disposal Groups [Abstract] | |
Schedule of Assets And Liabilities Held-for-sale | The following table summarizes the assets and liabilities classified as held-for-sale on the Company’s consolidated balance sheets: March 31, December 31, 2024 (1) 2023 (1) (in millions) Cash and cash equivalents $ 319 $ 153 Broker-dealer related receivables 69 107 Trading securities, at fair value 13 17 Goodwill and other intangible assets ,net 164 164 Other assets (2) 180 124 Total assets held-for-sale $ 745 $ 565 Broker-dealer related payables $ 38 $ 39 Customers related payables 20 17 Other liabilities 181 97 Total liabilities held-for-sale $ 239 $ 153 ______________ (1) The assets and liabilities classified as held-for-sale are reported within our Investment Management & Research segment. (2) |
ORGANIZATION (Details)
ORGANIZATION (Details) - segment | 3 Months Ended | 12 Months Ended |
Mar. 31, 2024 | Dec. 31, 2023 | |
Organization Basis Of Presentation [Line Items] | ||
Number of operating segments | 6 | |
Alliance Bernstein | ||
Organization Basis Of Presentation [Line Items] | ||
Economic interest | 61% | 61% |
SIGNIFICANT ACCOUNTING POLICI_4
SIGNIFICANT ACCOUNTING POLICIES (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 | Mar. 31, 2023 | Dec. 31, 2022 | |||
Variable Interest Entity [Line Items] | |||||||
Investments | $ 102,620 | $ 102,173 | |||||
Fixed maturities, at fair value using the fair value option | [1] | 1,687 | 1,654 | ||||
Notes issued by consolidated variable interest entities, at fair value using the fair value option | [1] | 1,580 | 1,559 | ||||
Unpaid outstanding balance and short-term borrowing | 1,600 | 1,600 | |||||
Assets | 285,577 | 276,814 | |||||
Liabilities | 280,831 | 271,656 | |||||
Redeemable noncontrolling interest | 991 | [1],[2] | 770 | [1],[2] | $ 613 | $ 455 | |
Variable Interest Entity, Primary Beneficiary | CLO Warehouse Debt | |||||||
Variable Interest Entity [Line Items] | |||||||
Investments | 110 | 113 | |||||
Investment assets, special purpose entity | 24 | ||||||
Consolidated Limited Partnerships | |||||||
Variable Interest Entity [Line Items] | |||||||
Assets | 2,500 | 1,800 | |||||
Consolidated Entity | AB-Sponsored Investment Funds | |||||||
Variable Interest Entity [Line Items] | |||||||
Assets | 188 | 309 | |||||
Liabilities | 10 | 10 | |||||
Redeemable noncontrolling interest | 104 | 203 | |||||
Consolidated Entity, Excluding VIE | AB-Sponsored Investment Funds | |||||||
Variable Interest Entity [Line Items] | |||||||
Assets | 129 | 121 | |||||
Liabilities | 4 | 3 | |||||
Redeemable noncontrolling interest | 21 | 7 | |||||
Non-consolidated Vairable Interest Entities | |||||||
Variable Interest Entity [Line Items] | |||||||
Investments | 2,700 | 2,600 | |||||
Assets | 273,100 | 268,600 | |||||
Variable interest entity, maximum loss exposure | 2,700 | 2,600 | |||||
Unfunded commitments | 1,300 | 1,300 | |||||
Non-consolidated Vairable Interest Entities | AB-Sponsored Investment Funds | |||||||
Variable Interest Entity [Line Items] | |||||||
Variable interest entity, maximum loss exposure | 22 | 10 | |||||
Non-consolidated Vairable Interest Entities | AB-Sponsored Investment Funds | |||||||
Variable Interest Entity [Line Items] | |||||||
Assets | $ 65,500 | $ 54,600 | |||||
[1]See Note 2 of the Notes to these Consolidated Financial Statements for details of balances with VIEs.[2]See Note 14 of the Notes to these Consolidated Financial Statements for details of redeemable noncontrolling interest. |
INVESTMENTS - Narrative (Detail
INVESTMENTS - Narrative (Details) | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2024 USD ($) issue loan | Mar. 31, 2023 USD ($) | Dec. 31, 2023 USD ($) extension loan issue | |
Net Investment Income [Line Items] | |||
Number of positions in unrealized loss position | issue | 4,380 | 4,402 | |
Debt securities exposure in single issuer greater than stated percentage of total investments | 0.70% | ||
Amortized cost of fixed maturities available-for-sale | $ 75,270,000,000 | $ 74,033,000,000 | |
12 months or longer, gross unrealized losses | 7,810,000,000 | 7,261,000,000 | |
Loaned securities | $ 144,000,000 | 113,000,000 | |
Minimum requirement percentage of the fair value of the loaned securities to be held as cash collateral | 102% | ||
Cash collateral | $ 147,000,000 | 116,000,000 | |
Allowance for credit losses | $ 297,000,000 | $ 139,000,000 | $ 279,000,000 |
Number of loans | loan | 0 | 4 | |
Amortized cost | $ 235,000,000 | $ 234,000,000 | |
Percentage of total commercial mortgage loans representing amortized cost | 1.50% | 1.50% | |
Number of troubled debt restructuring extensions | extension | 2 | ||
Separate account equity investment carrying value | $ 53,000,000 | $ 49,000,000 | |
Interest credited to policyholders account balances participating group annuity contracts | 0 | 0 | |
Recurring | |||
Net Investment Income [Line Items] | |||
Trading securities, at fair value | 1,340,000,000 | $ 1,057,000,000 | |
Minimum | |||
Net Investment Income [Line Items] | |||
Debt instrument, term | 17 months | ||
Maximum | |||
Net Investment Income [Line Items] | |||
Debt instrument, term | 4 years | ||
Commercial, Agricultural And Residential Mortgage Loan | |||
Net Investment Income [Line Items] | |||
Accrued investment income receivable | 85,000,000 | $ 82,000,000 | |
Accrued interest written off | $ 0 | 0 | |
Individually Assessed Mortgage Loans | |||
Net Investment Income [Line Items] | |||
Number of mortgage loans, foreclosure probable | loan | 1 | 1 | |
Mortgage loans foreclosure probable | $ 108,000,000 | $ 108,000,000 | |
Allowance for credit losses | 54,000,000 | 54,000,000 | |
Mortgage Loans | |||
Net Investment Income [Line Items] | |||
Non-accruing loans, amortized cost | 127,000,000 | 127,000,000 | |
Fixed maturities | |||
Net Investment Income [Line Items] | |||
Accrued investment income receivable | 643,000,000 | 626,000,000 | |
Accrued interest written off | 0 | $ 0 | |
Amortized cost of fixed maturities available-for-sale | 75,300,000,000 | 74,000,000,000 | |
Fixed maturities | Non-Investment Grade | |||
Net Investment Income [Line Items] | |||
Available-for-sale securities, amortized cost basis other than investment grade | $ 3,000,000,000 | $ 2,600,000,000 | |
Percentage of available for sale securities | 4% | 3.50% | |
Unrealized loss on available for sale securities | $ 127,000,000 | $ 101,000,000 | |
Public Corporate | |||
Net Investment Income [Line Items] | |||
Exposure in single issuer of total investments | $ 317,000,000 | $ 360,000,000 | |
Debt securities exposure in single issuer of total investments, percentage | 8.40% | 8.20% | |
Amortized cost of fixed maturities available-for-sale | $ 49,975,000,000 | $ 49,786,000,000 | |
12 months or longer, gross unrealized losses | $ 5,702,000,000 | $ 5,231,000,000 |
INVESTMENTS - Available-for-sal
INVESTMENTS - Available-for-sale Securities (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Debt Securities, Available-for-sale [Line Items] | |||
Amortized Cost | $ 75,270 | $ 74,033 | |
Allowance for Credit Losses | 4 | 4 | |
Gross Unrealized Gains | 337 | 409 | |
Gross Unrealized Losses | 7,997 | 7,408 | |
Fair Value | 67,606 | 67,030 | |
Amortized Cost (Less Allowance for Credit Losses) | |||
Due in one year or less | 1,898 | ||
Due in years two through five | 14,627 | ||
Due in years six through ten | 16,210 | ||
Due after ten years | 24,292 | ||
Subtotal | 57,027 | ||
Amortized Cost (Less Allowance for Credit Losses) | 75,266 | ||
Fair Value | |||
Due in one year or less | 1,877 | ||
Due in years two through five | 14,108 | ||
Due in years six through ten | 15,013 | ||
Due after ten years | 18,959 | ||
Subtotal | 49,957 | ||
Fair Value | 67,606 | 67,030 | |
Fixed Maturities Proceeds Gross Gains And Gross Losses From Sales And Other Than Temporary Impairments | |||
Proceeds from sales | 444 | $ 825 | |
Gross gains on sales | 0 | 2 | |
Gross losses on sales | (24) | (26) | |
Net (increase) decrease in Allowance for Credit and Intent to Sell losses | (2) | (56) | |
Fixed Maturities - Credit Loss Impairments | |||
Balance, beginning of period | 48 | 36 | |
Previously recognized impairments on securities that matured, paid, prepaid or sold | (4) | (3) | |
Recognized impairments on securities impaired to fair value this period | 0 | 52 | |
Credit losses recognized this period on securities for which credit losses were not previously recognized | 3 | 3 | |
Additional credit losses this period on securities previously impaired | 1 | 1 | |
Balance, end of period | 48 | $ 89 | |
Corporate | |||
Debt Securities, Available-for-sale [Line Items] | |||
Amortized Cost | 49,975 | 49,786 | |
Allowance for Credit Losses | 4 | 4 | |
Gross Unrealized Gains | 252 | 320 | |
Gross Unrealized Losses | 5,865 | 5,360 | |
Fair Value | 44,358 | 44,742 | |
Fair Value | |||
Fair Value | 44,358 | 44,742 | |
U.S. government, agencies and authorities | |||
Debt Securities, Available-for-sale [Line Items] | |||
Amortized Cost | 5,759 | 5,735 | |
Allowance for Credit Losses | 0 | 0 | |
Gross Unrealized Gains | 0 | 2 | |
Gross Unrealized Losses | 1,264 | 1,106 | |
Fair Value | 4,495 | 4,631 | |
Fair Value | |||
Fair Value | 4,495 | 4,631 | |
States and political subdivisions | |||
Debt Securities, Available-for-sale [Line Items] | |||
Amortized Cost | 586 | 614 | |
Allowance for Credit Losses | 0 | 0 | |
Gross Unrealized Gains | 6 | 9 | |
Gross Unrealized Losses | 79 | 74 | |
Fair Value | 513 | 549 | |
Fair Value | |||
Fair Value | 513 | 549 | |
Foreign governments | |||
Debt Securities, Available-for-sale [Line Items] | |||
Amortized Cost | 711 | 719 | |
Allowance for Credit Losses | 0 | 0 | |
Gross Unrealized Gains | 2 | 3 | |
Gross Unrealized Losses | 122 | 111 | |
Fair Value | 591 | 611 | |
Fair Value | |||
Fair Value | 591 | 611 | |
Residential mortgage-backed | |||
Debt Securities, Available-for-sale [Line Items] | |||
Amortized Cost | 2,678 | 2,470 | |
Allowance for Credit Losses | 0 | 0 | |
Gross Unrealized Gains | 10 | 18 | |
Gross Unrealized Losses | 148 | 133 | |
Fair Value | 2,540 | 2,355 | |
Amortized Cost (Less Allowance for Credit Losses) | |||
Without single maturity date | 2,678 | ||
Fair Value | |||
Without single maturity date | 2,540 | ||
Fair Value | 2,540 | 2,355 | |
Asset-backed | |||
Debt Securities, Available-for-sale [Line Items] | |||
Amortized Cost | 11,852 | 11,058 | |
Allowance for Credit Losses | 0 | 0 | |
Gross Unrealized Gains | 60 | 52 | |
Gross Unrealized Losses | 85 | 109 | |
Fair Value | 11,827 | 11,001 | |
Amortized Cost (Less Allowance for Credit Losses) | |||
Without single maturity date | 11,852 | ||
Fair Value | |||
Without single maturity date | 11,827 | ||
Fair Value | 11,827 | 11,001 | |
Commercial mortgage-backed | |||
Debt Securities, Available-for-sale [Line Items] | |||
Amortized Cost | 3,653 | 3,595 | |
Allowance for Credit Losses | 0 | 0 | |
Gross Unrealized Gains | 4 | 2 | |
Gross Unrealized Losses | 434 | 515 | |
Fair Value | 3,223 | 3,082 | |
Amortized Cost (Less Allowance for Credit Losses) | |||
Without single maturity date | 3,653 | ||
Fair Value | |||
Without single maturity date | 3,223 | ||
Fair Value | 3,223 | 3,082 | |
Redeemable preferred stock | |||
Debt Securities, Available-for-sale [Line Items] | |||
Amortized Cost | 56 | 56 | |
Allowance for Credit Losses | 0 | 0 | |
Gross Unrealized Gains | 3 | 3 | |
Gross Unrealized Losses | 0 | 0 | |
Fair Value | 59 | 59 | |
Amortized Cost (Less Allowance for Credit Losses) | |||
Without single maturity date | 56 | ||
Fair Value | |||
Without single maturity date | 59 | ||
Fair Value | $ 59 | $ 59 |
INVESTMENTS - Net Unrealized Ga
INVESTMENTS - Net Unrealized Gain (Losses) (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Debt Securities, Available-For-Sale, Net Unrealized Investments [Roll Forward] | ||
Beginning of year | $ 4,388 | $ 3,141 |
Net unrealized investment gains (losses) | (522) | 1,634 |
End of year | 3,755 | 5,471 |
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-sale, Parent | Unrealized Investment Gains (Losses), All Other | Net Unrealized Gains (Losses) on Investments | ||
Debt Securities, Available-For-Sale, Net Unrealized Investments [Roll Forward] | ||
Beginning of year | (6,999) | (9,606) |
Net investment gains (losses) arising during the period | (683) | 1,555 |
Included in net income (loss) | 26 | 80 |
Other | 0 | 0 |
Impact of net unrealized investment gains (losses) | 0 | 0 |
End of year | (7,660) | (7,978) |
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-sale, Parent | Unrealized Investment Gains (Losses), All Other | Policyholders’ Liabilities | ||
Debt Securities, Available-For-Sale, Net Unrealized Investments [Roll Forward] | ||
Beginning of year | 50 | 41 |
Net investment gains (losses) arising during the period | 0 | 0 |
Included in net income (loss) | 0 | 0 |
Other | 0 | 0 |
Impact of net unrealized investment gains (losses) | 13 | (8) |
End of year | 63 | 33 |
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-sale, Parent | Unrealized Investment Gains (Losses), All Other | Deferred Income Tax Asset (Liability) | ||
Debt Securities, Available-For-Sale, Net Unrealized Investments [Roll Forward] | ||
Beginning of year | 226 | 440 |
Net investment gains (losses) arising during the period | 0 | 0 |
Included in net income (loss) | 0 | 0 |
Other | 3 | (342) |
Impact of net unrealized investment gains (losses) | 134 | (342) |
End of year | 358 | 441 |
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-sale, Parent | Unrealized Investment Gains (Losses), All Other | AOCI Gains (Losses) Related To Net Unrealized Investment Gains (Losses) | ||
Debt Securities, Available-For-Sale, Net Unrealized Investments [Roll Forward] | ||
Beginning of year | (6,723) | (9,125) |
Net investment gains (losses) arising during the period | (683) | 1,555 |
Included in net income (loss) | 26 | 80 |
Other | 3 | (342) |
Impact of net unrealized investment gains (losses) | 147 | (350) |
End of year | (7,239) | (7,504) |
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-sale, Parent | Net unrealized investment gains (losses) excluding credit losses | Net Unrealized Gains (Losses) on Investments | ||
Debt Securities, Available-For-Sale, Net Unrealized Investments [Roll Forward] | ||
Net unrealized investment gains (losses) | (7,656) | (7,971) |
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-sale, Parent | Net unrealized investment gains (losses) excluding credit losses | Policyholders’ Liabilities | ||
Debt Securities, Available-For-Sale, Net Unrealized Investments [Roll Forward] | ||
Net unrealized investment gains (losses) | 63 | 33 |
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-sale, Parent | Net unrealized investment gains (losses) excluding credit losses | Deferred Income Tax Asset (Liability) | ||
Debt Securities, Available-For-Sale, Net Unrealized Investments [Roll Forward] | ||
Net unrealized investment gains (losses) | 357 | 440 |
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-sale, Parent | Net unrealized investment gains (losses) excluding credit losses | AOCI Gains (Losses) Related To Net Unrealized Investment Gains (Losses) | ||
Debt Securities, Available-For-Sale, Net Unrealized Investments [Roll Forward] | ||
Net unrealized investment gains (losses) | (7,236) | (7,498) |
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-sale, Parent | Net unrealized investment gains (losses) with credit losses | Net Unrealized Gains (Losses) on Investments | ||
Debt Securities, Available-For-Sale, Net Unrealized Investments [Roll Forward] | ||
Net unrealized investment gains (losses) | (4) | (7) |
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-sale, Parent | Net unrealized investment gains (losses) with credit losses | Policyholders’ Liabilities | ||
Debt Securities, Available-For-Sale, Net Unrealized Investments [Roll Forward] | ||
Net unrealized investment gains (losses) | 0 | 0 |
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-sale, Parent | Net unrealized investment gains (losses) with credit losses | Deferred Income Tax Asset (Liability) | ||
Debt Securities, Available-For-Sale, Net Unrealized Investments [Roll Forward] | ||
Net unrealized investment gains (losses) | 1 | 1 |
AOCI, Accumulated Gain (Loss), Debt Securities, Available-for-sale, Parent | Net unrealized investment gains (losses) with credit losses | AOCI Gains (Losses) Related To Net Unrealized Investment Gains (Losses) | ||
Debt Securities, Available-For-Sale, Net Unrealized Investments [Roll Forward] | ||
Net unrealized investment gains (losses) | $ (3) | $ (6) |
INVESTMENTS - Fixed Maturities
INVESTMENTS - Fixed Maturities Available-for-sale (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Available-For-Sale Securities, Continuous Unrealized Loss Position [Line Items] | ||
Less than twelve months, fair value | $ 7,142 | $ 3,194 |
Less than 12 months, gross unrealized losses | 182 | 144 |
12 months or longer, fair value | 42,615 | 47,821 |
12 months or longer, gross unrealized losses | 7,810 | 7,261 |
Total fair value | 49,757 | 51,015 |
Total gross unrealized losses | 7,992 | 7,405 |
Corporate | ||
Available-For-Sale Securities, Continuous Unrealized Loss Position [Line Items] | ||
Less than twelve months, fair value | 4,228 | 2,228 |
Less than 12 months, gross unrealized losses | 158 | 126 |
12 months or longer, fair value | 31,870 | 33,135 |
12 months or longer, gross unrealized losses | 5,702 | 5,231 |
Total fair value | 36,098 | 35,363 |
Total gross unrealized losses | 5,860 | 5,357 |
U.S. government, agencies and authorities | ||
Available-For-Sale Securities, Continuous Unrealized Loss Position [Line Items] | ||
Less than twelve months, fair value | 101 | 111 |
Less than 12 months, gross unrealized losses | 2 | 2 |
12 months or longer, fair value | 4,320 | 4,447 |
12 months or longer, gross unrealized losses | 1,262 | 1,104 |
Total fair value | 4,421 | 4,558 |
Total gross unrealized losses | 1,264 | 1,106 |
States and political subdivisions | ||
Available-For-Sale Securities, Continuous Unrealized Loss Position [Line Items] | ||
Less than twelve months, fair value | 10 | 10 |
Less than 12 months, gross unrealized losses | 0 | 0 |
12 months or longer, fair value | 304 | 300 |
12 months or longer, gross unrealized losses | 79 | 74 |
Total fair value | 314 | 310 |
Total gross unrealized losses | 79 | 74 |
Foreign governments | ||
Available-For-Sale Securities, Continuous Unrealized Loss Position [Line Items] | ||
Less than twelve months, fair value | 56 | 15 |
Less than 12 months, gross unrealized losses | 2 | 2 |
12 months or longer, fair value | 487 | 517 |
12 months or longer, gross unrealized losses | 120 | 109 |
Total fair value | 543 | 532 |
Total gross unrealized losses | 122 | 111 |
Residential mortgage-backed | ||
Available-For-Sale Securities, Continuous Unrealized Loss Position [Line Items] | ||
Less than twelve months, fair value | 612 | 210 |
Less than 12 months, gross unrealized losses | 7 | 2 |
12 months or longer, fair value | 1,008 | 1,044 |
12 months or longer, gross unrealized losses | 141 | 131 |
Total fair value | 1,620 | 1,254 |
Total gross unrealized losses | 148 | 133 |
Asset-backed | ||
Available-For-Sale Securities, Continuous Unrealized Loss Position [Line Items] | ||
Less than twelve months, fair value | 2,087 | 528 |
Less than 12 months, gross unrealized losses | 5 | 1 |
12 months or longer, fair value | 1,737 | 5,522 |
12 months or longer, gross unrealized losses | 80 | 108 |
Total fair value | 3,824 | 6,050 |
Total gross unrealized losses | 85 | 109 |
Commercial mortgage-backed | ||
Available-For-Sale Securities, Continuous Unrealized Loss Position [Line Items] | ||
Less than twelve months, fair value | 48 | 92 |
Less than 12 months, gross unrealized losses | 8 | 11 |
12 months or longer, fair value | 2,889 | 2,856 |
12 months or longer, gross unrealized losses | 426 | 504 |
Total fair value | 2,937 | 2,948 |
Total gross unrealized losses | $ 434 | $ 515 |
INVESTMENTS - Mortgage Loans (D
INVESTMENTS - Mortgage Loans (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||
Balance, beginning of period | $ 279 | |
Balance, end of period | 297 | $ 139 |
Commercial mortgages: | ||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||
Balance, beginning of period | 272 | 123 |
Current-period provision for expected credit losses | 16 | 10 |
Write-offs charged against the allowance | 0 | 0 |
Recoveries of amounts previously written off | 0 | 0 |
Net change in allowance | 16 | 10 |
Balance, end of period | 288 | 133 |
Agricultural mortgages: | ||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||
Balance, beginning of period | 6 | 6 |
Current-period provision for expected credit losses | 0 | 0 |
Write-offs charged against the allowance | 0 | 0 |
Recoveries of amounts previously written off | 0 | 0 |
Net change in allowance | 0 | 0 |
Balance, end of period | 6 | 6 |
Residential mortgages: | ||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||
Balance, beginning of period | 1 | 0 |
Current-period provision for expected credit losses | 2 | 0 |
Write-offs charged against the allowance | 0 | 0 |
Recoveries of amounts previously written off | 0 | 0 |
Net change in allowance | 2 | 0 |
Balance, end of period | $ 3 | $ 0 |
INVESTMENTS - Credit Quality (D
INVESTMENTS - Credit Quality (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended |
Mar. 31, 2024 | Dec. 31, 2023 | |
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | $ 18,867 | $ 18,450 |
Total | 18,614 | 18,197 |
Non-accruing Loans | 253 | 253 |
Non-accruing Loans with No Allowance | 0 | 0 |
Interest Income on Non-accruing Loans | 0 | 7 |
Past Due | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 60 | 84 |
30-59 Days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 1 | 39 |
60-89 Days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 5 | 5 |
90 Days or More | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 54 | 40 |
Current | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 18,554 | 18,113 |
Commercial | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 195 | 1,481 |
Fiscal year before current fiscal year | 1,468 | 3,277 |
Two years before current fiscal year | 3,223 | 2,102 |
Three years before current fiscal year | 2,101 | 1,362 |
Four years before current fiscal year | 1,360 | 636 |
Prior | 6,660 | 6,118 |
Revolving Loans Amortized Cost Basis | 579 | 500 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 132 | 131 |
Total | 15,718 | 15,607 |
Total | 15,484 | 15,373 |
Non-accruing Loans | 234 | 234 |
Non-accruing Loans with No Allowance | 0 | 0 |
Interest Income on Non-accruing Loans | 0 | 7 |
Commercial | Past Due | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 0 | 32 |
Commercial | 30-59 Days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 0 | 32 |
Commercial | 60-89 Days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 0 | 0 |
Commercial | 90 Days or More | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 0 | 0 |
Commercial | Current | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 15,484 | 15,341 |
Commercial | Greater than 2.0x | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 0 | 175 |
Fiscal year before current fiscal year | 175 | 693 |
Two years before current fiscal year | 693 | 1,125 |
Three years before current fiscal year | 1,190 | 1,135 |
Four years before current fiscal year | 1,133 | 249 |
Prior | 3,573 | 3,273 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 6,764 | 6,650 |
Commercial | 1.8x to 2.0x | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 40 | 0 |
Fiscal year before current fiscal year | 75 | 0 |
Two years before current fiscal year | 0 | 182 |
Three years before current fiscal year | 208 | 167 |
Four years before current fiscal year | 167 | 171 |
Prior | 637 | 662 |
Revolving Loans Amortized Cost Basis | 318 | 383 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 96 | 96 |
Total | 1,541 | 1,661 |
Commercial | 1.5x to 1.8x | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 0 | 80 |
Fiscal year before current fiscal year | 164 | 1,060 |
Two years before current fiscal year | 911 | 234 |
Three years before current fiscal year | 143 | 0 |
Four years before current fiscal year | 0 | 162 |
Prior | 1,016 | 924 |
Revolving Loans Amortized Cost Basis | 100 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 2,334 | 2,460 |
Commercial | 1.2x to 1.5x | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 82 | 690 |
Fiscal year before current fiscal year | 612 | 687 |
Two years before current fiscal year | 981 | 457 |
Three years before current fiscal year | 427 | 0 |
Four years before current fiscal year | 0 | 11 |
Prior | 912 | 838 |
Revolving Loans Amortized Cost Basis | 79 | 41 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 3,093 | 2,724 |
Commercial | 1.0x to 1.2x | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 73 | 528 |
Fiscal year before current fiscal year | 434 | 668 |
Two years before current fiscal year | 281 | 38 |
Three years before current fiscal year | 67 | 0 |
Four years before current fiscal year | 0 | 43 |
Prior | 464 | 317 |
Revolving Loans Amortized Cost Basis | 82 | 76 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 36 | 35 |
Total | 1,437 | 1,705 |
Commercial | Less than 1.0x | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 0 | 8 |
Fiscal year before current fiscal year | 8 | 169 |
Two years before current fiscal year | 357 | 66 |
Three years before current fiscal year | 66 | 60 |
Four years before current fiscal year | 60 | 0 |
Prior | 58 | 104 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 549 | 407 |
Commercial | 0% - 50% | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 0 | 249 |
Fiscal year before current fiscal year | 308 | 164 |
Two years before current fiscal year | 155 | 129 |
Three years before current fiscal year | 129 | 35 |
Four years before current fiscal year | 35 | 0 |
Prior | 1,532 | 1,557 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 2,159 | 2,134 |
Commercial | 50% - 70% | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 195 | 924 |
Fiscal year before current fiscal year | 920 | 1,916 |
Two years before current fiscal year | 1,871 | 671 |
Three years before current fiscal year | 670 | 750 |
Four years before current fiscal year | 749 | 299 |
Prior | 2,522 | 2,319 |
Revolving Loans Amortized Cost Basis | 517 | 463 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 96 | 96 |
Total | 7,540 | 7,438 |
Commercial | 70% - 90% | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 0 | 308 |
Fiscal year before current fiscal year | 240 | 1,197 |
Two years before current fiscal year | 1,197 | 1,236 |
Three years before current fiscal year | 1,144 | 523 |
Four years before current fiscal year | 576 | 245 |
Prior | 1,657 | 1,384 |
Revolving Loans Amortized Cost Basis | 62 | 37 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 36 | 35 |
Total | 4,912 | 4,965 |
Commercial | 90% plus | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 0 | 0 |
Fiscal year before current fiscal year | 0 | 0 |
Two years before current fiscal year | 0 | 66 |
Three years before current fiscal year | 158 | 54 |
Four years before current fiscal year | 0 | 92 |
Prior | 949 | 858 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 1,107 | 1,070 |
Agricultural | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 54 | 162 |
Fiscal year before current fiscal year | 162 | 308 |
Two years before current fiscal year | 304 | 343 |
Three years before current fiscal year | 340 | 436 |
Four years before current fiscal year | 422 | 190 |
Prior | 1,260 | 1,106 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 2,542 | 2,545 |
Total | 2,523 | 2,526 |
Non-accruing Loans | 19 | 19 |
Non-accruing Loans with No Allowance | 0 | 0 |
Interest Income on Non-accruing Loans | 0 | 0 |
Agricultural | Past Due | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 60 | 52 |
Agricultural | 30-59 Days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 1 | 7 |
Agricultural | 60-89 Days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 5 | 5 |
Agricultural | 90 Days or More | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 54 | 40 |
Agricultural | Current | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 2,463 | 2,474 |
Agricultural | Greater than 2.0x | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 8 | 7 |
Fiscal year before current fiscal year | 7 | 50 |
Two years before current fiscal year | 50 | 36 |
Three years before current fiscal year | 34 | 59 |
Four years before current fiscal year | 59 | 20 |
Prior | 196 | 179 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 354 | 351 |
Agricultural | 1.8x to 2.0x | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 5 | 18 |
Fiscal year before current fiscal year | 18 | 16 |
Two years before current fiscal year | 16 | 56 |
Three years before current fiscal year | 56 | 33 |
Four years before current fiscal year | 29 | 23 |
Prior | 83 | 61 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 207 | 207 |
Agricultural | 1.5x to 1.8x | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 2 | 12 |
Fiscal year before current fiscal year | 12 | 50 |
Two years before current fiscal year | 49 | 31 |
Three years before current fiscal year | 31 | 109 |
Four years before current fiscal year | 110 | 17 |
Prior | 209 | 193 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 413 | 412 |
Agricultural | 1.2x to 1.5x | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 35 | 46 |
Fiscal year before current fiscal year | 46 | 111 |
Two years before current fiscal year | 110 | 148 |
Three years before current fiscal year | 148 | 170 |
Four years before current fiscal year | 159 | 98 |
Prior | 433 | 365 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 931 | 938 |
Agricultural | 1.0x to 1.2x | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 3 | 47 |
Fiscal year before current fiscal year | 47 | 57 |
Two years before current fiscal year | 55 | 68 |
Three years before current fiscal year | 67 | 57 |
Four years before current fiscal year | 57 | 26 |
Prior | 307 | 284 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 536 | 539 |
Agricultural | Less than 1.0x | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 1 | 32 |
Fiscal year before current fiscal year | 32 | 24 |
Two years before current fiscal year | 24 | 4 |
Three years before current fiscal year | 4 | 8 |
Four years before current fiscal year | 8 | 6 |
Prior | 32 | 24 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 101 | 98 |
Agricultural | 0% - 50% | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 14 | 102 |
Fiscal year before current fiscal year | 102 | 162 |
Two years before current fiscal year | 160 | 191 |
Three years before current fiscal year | 190 | 235 |
Four years before current fiscal year | 242 | 132 |
Prior | 910 | 802 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 1,618 | 1,624 |
Agricultural | 50% - 70% | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 40 | 60 |
Fiscal year before current fiscal year | 60 | 146 |
Two years before current fiscal year | 144 | 152 |
Three years before current fiscal year | 150 | 201 |
Four years before current fiscal year | 180 | 58 |
Prior | 334 | 288 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 908 | 905 |
Agricultural | 70% - 90% | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 0 | 0 |
Fiscal year before current fiscal year | 0 | 0 |
Two years before current fiscal year | 0 | 0 |
Three years before current fiscal year | 0 | 0 |
Four years before current fiscal year | 0 | 0 |
Prior | 16 | 16 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 16 | 16 |
Agricultural | 90% plus | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 0 | 0 |
Fiscal year before current fiscal year | 0 | 0 |
Two years before current fiscal year | 0 | 0 |
Three years before current fiscal year | 0 | 0 |
Four years before current fiscal year | 0 | 0 |
Prior | 0 | 0 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 0 | 0 |
Residential mortgages: | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 0 | 98 |
Fiscal year before current fiscal year | 373 | 121 |
Two years before current fiscal year | 139 | 74 |
Three years before current fiscal year | 90 | 2 |
Four years before current fiscal year | 3 | 1 |
Prior | 2 | 2 |
Total | 607 | 298 |
Total | 607 | 298 |
Non-accruing Loans | 0 | 0 |
Non-accruing Loans with No Allowance | 0 | 0 |
Interest Income on Non-accruing Loans | 0 | 0 |
Residential mortgages: | Past Due | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 0 | 0 |
Residential mortgages: | 30-59 Days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 0 | 0 |
Residential mortgages: | 60-89 Days | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 0 | 0 |
Residential mortgages: | 90 Days or More | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 0 | 0 |
Residential mortgages: | Current | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Total | 607 | 298 |
Total commercial and agricultural mortgage loans: | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 249 | 1,643 |
Fiscal year before current fiscal year | 1,630 | 3,585 |
Two years before current fiscal year | 3,527 | 2,445 |
Three years before current fiscal year | 2,441 | 1,798 |
Four years before current fiscal year | 1,782 | 826 |
Prior | 7,920 | 7,224 |
Revolving Loans Amortized Cost Basis | 579 | 500 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 132 | 131 |
Total | 18,260 | 18,152 |
Total commercial and agricultural mortgage loans: | Greater than 2.0x | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 8 | 182 |
Fiscal year before current fiscal year | 182 | 743 |
Two years before current fiscal year | 743 | 1,161 |
Three years before current fiscal year | 1,224 | 1,194 |
Four years before current fiscal year | 1,192 | 269 |
Prior | 3,769 | 3,452 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 7,118 | 7,001 |
Total commercial and agricultural mortgage loans: | 1.8x to 2.0x | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 45 | 18 |
Fiscal year before current fiscal year | 93 | 16 |
Two years before current fiscal year | 16 | 238 |
Three years before current fiscal year | 264 | 200 |
Four years before current fiscal year | 196 | 194 |
Prior | 720 | 723 |
Revolving Loans Amortized Cost Basis | 318 | 383 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 96 | 96 |
Total | 1,748 | 1,868 |
Total commercial and agricultural mortgage loans: | 1.5x to 1.8x | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 2 | 92 |
Fiscal year before current fiscal year | 176 | 1,110 |
Two years before current fiscal year | 960 | 265 |
Three years before current fiscal year | 174 | 109 |
Four years before current fiscal year | 110 | 179 |
Prior | 1,225 | 1,117 |
Revolving Loans Amortized Cost Basis | 100 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 2,747 | 2,872 |
Total commercial and agricultural mortgage loans: | 1.2x to 1.5x | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 117 | 736 |
Fiscal year before current fiscal year | 658 | 798 |
Two years before current fiscal year | 1,091 | 605 |
Three years before current fiscal year | 575 | 170 |
Four years before current fiscal year | 159 | 109 |
Prior | 1,345 | 1,203 |
Revolving Loans Amortized Cost Basis | 79 | 41 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 4,024 | 3,662 |
Total commercial and agricultural mortgage loans: | 1.0x to 1.2x | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 76 | 575 |
Fiscal year before current fiscal year | 481 | 725 |
Two years before current fiscal year | 336 | 106 |
Three years before current fiscal year | 134 | 57 |
Four years before current fiscal year | 57 | 69 |
Prior | 771 | 601 |
Revolving Loans Amortized Cost Basis | 82 | 76 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 36 | 35 |
Total | 1,973 | 2,244 |
Total commercial and agricultural mortgage loans: | Less than 1.0x | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 1 | 40 |
Fiscal year before current fiscal year | 40 | 193 |
Two years before current fiscal year | 381 | 70 |
Three years before current fiscal year | 70 | 68 |
Four years before current fiscal year | 68 | 6 |
Prior | 90 | 128 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 650 | 505 |
Total commercial and agricultural mortgage loans: | 0% - 50% | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 14 | 351 |
Fiscal year before current fiscal year | 410 | 326 |
Two years before current fiscal year | 315 | 320 |
Three years before current fiscal year | 319 | 270 |
Four years before current fiscal year | 277 | 132 |
Prior | 2,442 | 2,359 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | 3,777 | 3,758 |
Total commercial and agricultural mortgage loans: | 50% - 70% | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 235 | 984 |
Fiscal year before current fiscal year | 980 | 2,062 |
Two years before current fiscal year | 2,015 | 823 |
Three years before current fiscal year | 820 | 951 |
Four years before current fiscal year | 929 | 357 |
Prior | 2,856 | 2,607 |
Revolving Loans Amortized Cost Basis | 517 | 463 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 96 | 96 |
Total | 8,448 | 8,343 |
Total commercial and agricultural mortgage loans: | 70% - 90% | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 0 | 308 |
Fiscal year before current fiscal year | 240 | 1,197 |
Two years before current fiscal year | 1,197 | 1,236 |
Three years before current fiscal year | 1,144 | 523 |
Four years before current fiscal year | 576 | 245 |
Prior | 1,673 | 1,400 |
Revolving Loans Amortized Cost Basis | 62 | 37 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 36 | 35 |
Total | 4,928 | 4,981 |
Total commercial and agricultural mortgage loans: | 90% plus | ||
Financing Receivable, before Allowance for Credit Loss [Abstract] | ||
Current fiscal year | 0 | 0 |
Fiscal year before current fiscal year | 0 | 0 |
Two years before current fiscal year | 0 | 66 |
Three years before current fiscal year | 158 | 54 |
Four years before current fiscal year | 0 | 92 |
Prior | 949 | 858 |
Revolving Loans Amortized Cost Basis | 0 | 0 |
Revolving Loans Converted to Term Loans Amortized Cost Basis | 0 | 0 |
Total | $ 1,107 | $ 1,070 |
INVESTMENTS - Amortized Cost of
INVESTMENTS - Amortized Cost of Loans by Credit Quality Indicator and Origination Year (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Amortized Cost Basis by Origination Year | ||
Total | $ 18,867 | $ 18,450 |
Residential mortgages: | ||
Amortized Cost Basis by Origination Year | ||
Current fiscal year | 0 | 98 |
Fiscal year before current fiscal year | 373 | 121 |
Two years before current fiscal year | 139 | 74 |
Three years before current fiscal year | 90 | 2 |
Four years before current fiscal year | 3 | 1 |
Prior | 2 | 2 |
Total | 607 | 298 |
Residential mortgages: | Performing | ||
Amortized Cost Basis by Origination Year | ||
Current fiscal year | 0 | 98 |
Fiscal year before current fiscal year | 373 | 121 |
Two years before current fiscal year | 139 | 74 |
Three years before current fiscal year | 90 | 2 |
Four years before current fiscal year | 3 | 1 |
Prior | 2 | 2 |
Total | 607 | 298 |
Residential mortgages: | Nonperforming | ||
Amortized Cost Basis by Origination Year | ||
Current fiscal year | 0 | 0 |
Fiscal year before current fiscal year | 0 | 0 |
Two years before current fiscal year | 0 | 0 |
Three years before current fiscal year | 0 | 0 |
Four years before current fiscal year | 0 | 0 |
Prior | 0 | 0 |
Total | $ 0 | $ 0 |
INVESTMENTS - Equity Securities
INVESTMENTS - Equity Securities (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | ||
Net investment gains (losses) recognized during the period on securities held at the end of the period | $ 15 | $ (3) |
Net investment gains (losses) recognized on securities sold during the period | (1) | 0 |
Unrealized and realized gains (losses) on equity securities | $ 14 | $ (3) |
INVESTMENTS - Trading Securitie
INVESTMENTS - Trading Securities (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | ||
Net investment gains (losses) recognized during the period on securities held at the end of the period | $ 36 | $ 35 |
Net investment gains (losses) recognized on securities sold during the period | 1 | (1) |
Unrealized and realized gains (losses) on trading securities | 37 | 34 |
Interest and dividend income from trading securities | 11 | 5 |
Net investment income (loss) from trading securities | $ 48 | $ 39 |
INVESTMENTS - Fixed Maturitie_2
INVESTMENTS - Fixed Maturities (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Investments, Debt and Equity Securities [Abstract] | ||
Net investment gains (losses) recognized during the period on securities held at the end of the period | $ (3) | $ 4 |
Net investment gains (losses) recognized on securities sold during the period | 1 | (2) |
Unrealized and realized gains (losses) from fixed maturities | (2) | 2 |
Interest and dividend income from fixed maturities | 5 | 7 |
Net investment income (loss) from fixed maturities | $ 3 | $ 9 |
INVESTMENTS - Net Investment In
INVESTMENTS - Net Investment Income (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Net Investment Income [Line Items] | ||
Gross investment income (loss) | $ 1,245 | $ 1,016 |
Investment expenses | (26) | (26) |
Net investment income (loss) | 1,219 | 990 |
Fixed maturities | ||
Net Investment Income [Line Items] | ||
Gross investment income (loss) | 821 | 715 |
Mortgage loans on real estate | ||
Net Investment Income [Line Items] | ||
Gross investment income (loss) | 234 | 177 |
Other equity investments | ||
Net Investment Income [Line Items] | ||
Gross investment income (loss) | 60 | 6 |
Policy loans | ||
Net Investment Income [Line Items] | ||
Gross investment income (loss) | 54 | 52 |
Trading securities | ||
Net Investment Income [Line Items] | ||
Gross investment income (loss) | 48 | 39 |
Other investment income | ||
Net Investment Income [Line Items] | ||
Gross investment income (loss) | 25 | 18 |
Fixed maturities, at fair value using the fair value option | ||
Net Investment Income [Line Items] | ||
Gross investment income (loss) | $ 3 | $ 9 |
INVESTMENTS - Investment Gains
INVESTMENTS - Investment Gains (Losses), Net (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Net Investment Income [Line Items] | ||
Investment gains (losses), net | $ (39) | $ (87) |
Fixed maturities | ||
Net Investment Income [Line Items] | ||
Investment gains (losses), net | (26) | (80) |
Mortgage loans on real estate | ||
Net Investment Income [Line Items] | ||
Investment gains (losses), net | (18) | (10) |
Other | ||
Net Investment Income [Line Items] | ||
Investment gains (losses), net | $ 5 | $ 3 |
DERIVATIVES - Derivatives by Ca
DERIVATIVES - Derivatives by Category (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Total derivative instruments | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | $ 101,561 | $ 92,217 |
Derivative Assets | 17,479 | 14,035 |
Derivative Liabilities | 30,181 | 23,577 |
Net Derivatives | (12,702) | (9,542) |
Total embedded derivatives | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 0 | 0 |
Derivative Assets | 0 | 0 |
Derivative Liabilities | 13,758 | 10,745 |
Net Derivatives | (13,758) | (10,745) |
SCS, SIO, MSO and IUL Indexed Features | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 0 | 0 |
Derivative Assets | 0 | 0 |
Derivative Liabilities | 13,758 | 10,745 |
Net Derivatives | (13,758) | (10,745) |
Not Designated for Hedge Accounting | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 98,236 | 88,907 |
Derivative Assets | 17,397 | 13,956 |
Derivative Liabilities | 16,004 | 12,431 |
Net Derivatives | 1,393 | 1,525 |
Not Designated for Hedge Accounting | Currency swaps | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 840 | 823 |
Derivative Assets | 4 | 0 |
Derivative Liabilities | 1 | 27 |
Net Derivatives | 3 | (27) |
Not Designated for Hedge Accounting | Interest swaps | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 2,887 | 2,887 |
Derivative Assets | 26 | 118 |
Derivative Liabilities | 19 | 2 |
Net Derivatives | 7 | 116 |
Not Designated for Hedge Accounting | Futures | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 9,269 | 7,877 |
Derivative Assets | 0 | 0 |
Derivative Liabilities | 1 | 4 |
Net Derivatives | (1) | (4) |
Not Designated for Hedge Accounting | Swaps | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 16,365 | 15,021 |
Derivative Assets | 60 | 53 |
Derivative Liabilities | 11 | 10 |
Net Derivatives | 49 | 43 |
Not Designated for Hedge Accounting | Options | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 60,035 | 53,927 |
Derivative Assets | 16,560 | 13,213 |
Derivative Liabilities | 3,797 | 3,129 |
Net Derivatives | 12,763 | 10,084 |
Not Designated for Hedge Accounting | Futures | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 8,638 | 8,094 |
Derivative Assets | 0 | 0 |
Derivative Liabilities | 0 | 0 |
Net Derivatives | 0 | 0 |
Not Designated for Hedge Accounting | Credit default swaps | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 185 | 242 |
Derivative Assets | 8 | 9 |
Derivative Liabilities | 5 | 6 |
Net Derivatives | 3 | 3 |
Not Designated for Hedge Accounting | Currency forwards | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 17 | 36 |
Derivative Assets | 13 | 20 |
Derivative Liabilities | 13 | 21 |
Net Derivatives | 0 | (1) |
Not Designated for Hedge Accounting | Margin | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 0 | 0 |
Derivative Assets | 511 | 468 |
Derivative Liabilities | 0 | 0 |
Net Derivatives | 511 | 468 |
Not Designated for Hedge Accounting | Collateral | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 0 | 0 |
Derivative Assets | 215 | 75 |
Derivative Liabilities | 12,157 | 9,232 |
Net Derivatives | (11,942) | (9,157) |
Cash Flow Hedge | Designated for Hedge Accounting | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 3,325 | 3,310 |
Derivative Assets | 82 | 79 |
Derivative Liabilities | 419 | 401 |
Net Derivatives | (337) | (322) |
Cash Flow Hedge | Designated for Hedge Accounting | Currency swaps | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 2,373 | 2,358 |
Derivative Assets | 82 | 79 |
Derivative Liabilities | 96 | 90 |
Net Derivatives | (14) | (11) |
Cash Flow Hedge | Designated for Hedge Accounting | Interest swaps | ||
Derivatives, Fair Value [Line Items] | ||
Notional Amount | 952 | 952 |
Derivative Assets | 0 | 0 |
Derivative Liabilities | 323 | 311 |
Net Derivatives | $ (323) | $ (311) |
DERIVATIVES - Financial Stateme
DERIVATIVES - Financial Statement Impact of Derivatives By Category (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Derivatives, Fair Value [Line Items] | ||
Net Derivatives Gain (Losses) | $ (1,376) | $ (841) |
Net Investment Income | 1,219 | 990 |
Total derivative instruments | ||
Derivatives, Fair Value [Line Items] | ||
Net Derivatives Gain (Losses) | (1,376) | (841) |
Net Investment Income | 6 | 3 |
Interest Credited To Policyholders Account Balances | (18) | (34) |
AOCI | 9 | (3) |
Total embedded derivatives | ||
Derivatives, Fair Value [Line Items] | ||
Net Derivatives Gain (Losses) | (3,136) | (1,611) |
Net Investment Income | 0 | 0 |
Interest Credited To Policyholders Account Balances | 0 | 0 |
AOCI | 0 | 0 |
SCS, SIO, MSO and IUL Indexed Features | ||
Derivatives, Fair Value [Line Items] | ||
Net Derivatives Gain (Losses) | (3,136) | (1,611) |
Net Investment Income | 0 | 0 |
Interest Credited To Policyholders Account Balances | 0 | 0 |
AOCI | 0 | 0 |
Not Designated for Hedge Accounting | ||
Derivatives, Fair Value [Line Items] | ||
Net Derivatives Gain (Losses) | 1,760 | 767 |
Net Investment Income | 0 | 0 |
Interest Credited To Policyholders Account Balances | 0 | 0 |
AOCI | 0 | 0 |
Not Designated for Hedge Accounting | Currency swaps | ||
Derivatives, Fair Value [Line Items] | ||
Net Derivatives Gain (Losses) | 12 | (10) |
Net Investment Income | 0 | 0 |
Interest Credited To Policyholders Account Balances | 0 | 0 |
AOCI | 0 | 0 |
Not Designated for Hedge Accounting | Interest swaps | ||
Derivatives, Fair Value [Line Items] | ||
Net Derivatives Gain (Losses) | (164) | 48 |
Net Investment Income | 0 | 0 |
Interest Credited To Policyholders Account Balances | 0 | 0 |
AOCI | 0 | 0 |
Not Designated for Hedge Accounting | Futures | ||
Derivatives, Fair Value [Line Items] | ||
Net Derivatives Gain (Losses) | 241 | (143) |
Net Investment Income | 0 | 0 |
Interest Credited To Policyholders Account Balances | 0 | 0 |
AOCI | 0 | 0 |
Not Designated for Hedge Accounting | Swaps | ||
Derivatives, Fair Value [Line Items] | ||
Net Derivatives Gain (Losses) | (1,115) | (605) |
Net Investment Income | 0 | 0 |
Interest Credited To Policyholders Account Balances | 0 | 0 |
AOCI | 0 | 0 |
Not Designated for Hedge Accounting | Options | ||
Derivatives, Fair Value [Line Items] | ||
Net Derivatives Gain (Losses) | 2,795 | 1,501 |
Net Investment Income | 0 | 0 |
Interest Credited To Policyholders Account Balances | 0 | 0 |
AOCI | 0 | 0 |
Not Designated for Hedge Accounting | Futures | ||
Derivatives, Fair Value [Line Items] | ||
Net Derivatives Gain (Losses) | (9) | (22) |
Net Investment Income | 0 | 0 |
Interest Credited To Policyholders Account Balances | 0 | 0 |
AOCI | 0 | 0 |
Not Designated for Hedge Accounting | Credit default swaps | ||
Derivatives, Fair Value [Line Items] | ||
Net Derivatives Gain (Losses) | (1) | (2) |
Net Investment Income | 0 | 0 |
Interest Credited To Policyholders Account Balances | 0 | 0 |
AOCI | 0 | 0 |
Not Designated for Hedge Accounting | Currency forwards | ||
Derivatives, Fair Value [Line Items] | ||
Net Derivatives Gain (Losses) | 1 | 0 |
Net Investment Income | 0 | 0 |
Interest Credited To Policyholders Account Balances | 0 | 0 |
AOCI | 0 | 0 |
Not Designated for Hedge Accounting | Margin | ||
Derivatives, Fair Value [Line Items] | ||
Net Derivatives Gain (Losses) | 0 | 0 |
Net Investment Income | 0 | 0 |
Interest Credited To Policyholders Account Balances | 0 | 0 |
AOCI | 0 | 0 |
Not Designated for Hedge Accounting | Collateral | ||
Derivatives, Fair Value [Line Items] | ||
Net Derivatives Gain (Losses) | 0 | 0 |
Net Investment Income | 0 | 0 |
Interest Credited To Policyholders Account Balances | 0 | 0 |
AOCI | 0 | 0 |
Cash Flow Hedge | Designated for Hedge Accounting | ||
Derivatives, Fair Value [Line Items] | ||
Net Derivatives Gain (Losses) | 0 | 3 |
Net Investment Income | 6 | 3 |
Interest Credited To Policyholders Account Balances | (18) | (34) |
AOCI | 9 | (3) |
Cash Flow Hedge | Designated for Hedge Accounting | Currency swaps | ||
Derivatives, Fair Value [Line Items] | ||
Net Derivatives Gain (Losses) | 0 | 7 |
Net Investment Income | 3 | 3 |
Interest Credited To Policyholders Account Balances | (18) | (34) |
AOCI | 16 | 25 |
Cash Flow Hedge | Designated for Hedge Accounting | Interest swaps | ||
Derivatives, Fair Value [Line Items] | ||
Net Derivatives Gain (Losses) | 0 | (4) |
Net Investment Income | 3 | 0 |
Interest Credited To Policyholders Account Balances | 0 | 0 |
AOCI | $ (7) | $ (28) |
DERIVATIVES - Rollforward for C
DERIVATIVES - Rollforward for Cash Flows Hedges in AOCI (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Balance, beginning of period | $ 2,649 | |
Balance, ending of the period | 2,032 | |
Cash Flow Hedges Recognized in AOCI | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Balance, beginning of period | (29) | $ 22 |
Amount recorded in AOCI | (8) | (44) |
Amount reclassified from (to) income to AOCI | 17 | 41 |
Balance, ending of the period | (20) | 19 |
Cash Flow Hedges Recognized in AOCI | Currency swaps | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Amount recorded in AOCI | 0 | (7) |
Amount reclassified from (to) income to AOCI | 16 | 32 |
Cash Flow Hedges Recognized in AOCI | Interest swaps | ||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | ||
Amount recorded in AOCI | (8) | (37) |
Amount reclassified from (to) income to AOCI | $ 1 | $ 9 |
DERIVATIVES - Narrative (Detail
DERIVATIVES - Narrative (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Derivative [Line Items] | ||
Cash and securities collateral for derivative contract | $ 12,200 | $ 9,200 |
Cash and securities collateral | 215 | 75 |
S&P 500, Nasdaq, Russell 2000 And Emerging Market Indices | ||
Derivative [Line Items] | ||
Initial margin requirement | 399 | 369 |
U.S. Treasury Notes, U.S. Treasury Bonds And Ultra-Long Bonds | ||
Derivative [Line Items] | ||
Initial margin requirement | 132 | 120 |
Euro Stoxx, FTSE100, Topix, ASX200 and EAFE Indices | ||
Derivative [Line Items] | ||
Initial margin requirement | $ 13 | $ 14 |
DERIVATIVES - Offsetting of Fin
DERIVATIVES - Offsetting of Financial Assets and Liabilities and Derivative Instruments (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Derivatives | ||
Assets: | ||
Gross Amount Recognized | $ 17,481 | $ 14,036 |
Gross Amount Offset in the Balance Sheets | 13,904 | 9,543 |
Net Amount Presented in the Balance Sheets | 3,577 | 4,493 |
Gross amount not offset in the balance sheets | (2,516) | (3,254) |
Net Amount | 1,061 | 1,239 |
Liabilities: | ||
Gross Amount Recognized | 13,906 | 9,579 |
Gross Amount Offset in the Balance Sheets | 13,904 | 9,543 |
Net Amount Presented in the Balance Sheets | 2 | 36 |
Gross amount not offset in the balance sheets | 0 | 0 |
Net Amount | 2 | 36 |
Secured lending | ||
Assets: | ||
Gross Amount Recognized | 147 | 116 |
Gross Amount Offset in the Balance Sheets | 0 | 0 |
Net Amount Presented in the Balance Sheets | 147 | 116 |
Gross amount not offset in the balance sheets | 0 | 0 |
Net Amount | 147 | 116 |
Liabilities: | ||
Gross Amount Recognized | 147 | 116 |
Gross Amount Offset in the Balance Sheets | 0 | 0 |
Net Amount Presented in the Balance Sheets | 147 | 116 |
Gross amount not offset in the balance sheets | 0 | 0 |
Net Amount | 147 | 116 |
Other financial assets | ||
Assets: | ||
Gross Amount Recognized | 2,000 | 2,110 |
Gross Amount Offset in the Balance Sheets | 0 | 0 |
Net Amount Presented in the Balance Sheets | 2,000 | 2,110 |
Gross amount not offset in the balance sheets | 0 | 0 |
Net Amount | 2,000 | 2,110 |
Other invested assets | ||
Assets: | ||
Gross Amount Recognized | 19,628 | 16,262 |
Gross Amount Offset in the Balance Sheets | 13,904 | 9,543 |
Net Amount Presented in the Balance Sheets | 5,724 | 6,719 |
Gross amount not offset in the balance sheets | (2,516) | (3,254) |
Net Amount | 3,208 | 3,465 |
Other financial liabilities | ||
Liabilities: | ||
Gross Amount Recognized | 6,362 | 5,936 |
Gross Amount Offset in the Balance Sheets | 0 | 0 |
Net Amount Presented in the Balance Sheets | 6,362 | 5,936 |
Gross amount not offset in the balance sheets | 0 | 0 |
Net Amount | 6,362 | 5,936 |
Other liabilities | ||
Liabilities: | ||
Gross Amount Recognized | 20,415 | 15,631 |
Gross Amount Offset in the Balance Sheets | 13,904 | 9,543 |
Net Amount Presented in the Balance Sheets | 6,511 | 6,088 |
Gross amount not offset in the balance sheets | 0 | 0 |
Net Amount | $ 6,511 | $ 6,088 |
CLOSED BLOCK - Closed Block Sum
CLOSED BLOCK - Closed Block Summarized Financial Information (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended |
Mar. 31, 2024 | Dec. 31, 2023 | |
Closed Block Liabilities: | ||
Future policy benefits, policyholders’ account balances and other | $ 5,390 | $ 5,461 |
Other liabilities | 69 | 57 |
Total Closed Block liabilities | 5,459 | 5,518 |
Assets Designated to the Closed Block: | ||
Fixed maturities AFS, at fair value (amortized cost of $2,949 and $2,945) (allowance for credit losses of $0 and $0) | 2,784 | 2,800 |
Mortgage loans on real estate (net of allowance for credit losses of $13 and $13) | 1,550 | 1,612 |
Policy loans | 541 | 554 |
Cash and other invested assets | 63 | 58 |
Other assets | 163 | 150 |
Total assets designated to the Closed Block | 5,101 | 5,174 |
Excess of Closed Block liabilities over assets designated to the Closed Block | 358 | 344 |
Amounts included in AOCI: | ||
Net unrealized investment gains (losses), net of policyholders’ dividend obligation: $0 and $0; and net of income tax: $35 and $31 | (130) | (115) |
Maximum future earnings to be recognized from Closed Block assets and liabilities | 228 | 229 |
Amortized cost of fixed maturity AFS | 2,949 | 2,945 |
Allowance for credit losses of fixed maturities AFS | 0 | 0 |
Allowance for credit losses of mortgage loans on real estates | 13 | 13 |
Policy holders' dividend obligations on net unrealized investment gains (losses) | 0 | 0 |
Income tax on net unrealized investment gains (losses) | $ 35 | $ 31 |
CLOSED BLOCK - Closed Block Rev
CLOSED BLOCK - Closed Block Revenues and Expenses (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Revenues: | ||
Premiums and other income | $ 29 | $ 30 |
Net investment income (loss) | 52 | 51 |
Investment gains (losses), net | (1) | 0 |
Total revenues | 80 | 81 |
Benefits and Other Deductions: | ||
Policyholders’ benefits and dividends | 77 | 83 |
Total benefits and other deductions | 77 | 83 |
Net income (loss), before income taxes | 3 | (2) |
Income tax (expense) benefit | (1) | (1) |
Net income (loss) | $ 2 | $ (3) |
DAC AND OTHER DEFERRED ASSETS_3
DAC AND OTHER DEFERRED ASSETS/LIABILITIES - Reconciliation of DAC (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 | Mar. 31, 2023 | Dec. 31, 2022 |
Deferred Policy Acquisition Cost [Line Items] | ||||
Deferred policy acquisition costs | $ 6,804 | $ 6,705 | ||
Protection Solutions | Term | ||||
Deferred Policy Acquisition Cost [Line Items] | ||||
Deferred policy acquisition costs | 331 | 337 | $ 356 | $ 362 |
Protection Solutions | Universal Life | ||||
Deferred Policy Acquisition Cost [Line Items] | ||||
Deferred policy acquisition costs | 174 | 174 | 177 | 179 |
Protection Solutions | Variable Universal Life | ||||
Deferred Policy Acquisition Cost [Line Items] | ||||
Deferred policy acquisition costs | 1,009 | 987 | 910 | 889 |
Protection Solutions | Indexed Universal Life | ||||
Deferred Policy Acquisition Cost [Line Items] | ||||
Deferred policy acquisition costs | 187 | 188 | 185 | 185 |
Individual Retirement | GMxB Core | ||||
Deferred Policy Acquisition Cost [Line Items] | ||||
Deferred policy acquisition costs | 1,604 | 1,602 | 1,609 | 1,625 |
Individual Retirement | EQUI-VEST Individual | ||||
Deferred Policy Acquisition Cost [Line Items] | ||||
Deferred policy acquisition costs | 154 | 155 | 156 | 156 |
Individual Retirement | Investment Edge | ||||
Deferred Policy Acquisition Cost [Line Items] | ||||
Deferred policy acquisition costs | 180 | 172 | 156 | 148 |
Individual Retirement | SCS | ||||
Deferred Policy Acquisition Cost [Line Items] | ||||
Deferred policy acquisition costs | 1,655 | 1,571 | 1,333 | 1,279 |
Legacy Segment | GMxB Legacy | ||||
Deferred Policy Acquisition Cost [Line Items] | ||||
Deferred policy acquisition costs | 546 | 555 | 583 | 593 |
Group Retirement | EQUI-VEST Group | ||||
Deferred Policy Acquisition Cost [Line Items] | ||||
Deferred policy acquisition costs | 747 | 742 | 716 | 710 |
Group Retirement | Momentum | ||||
Deferred Policy Acquisition Cost [Line Items] | ||||
Deferred policy acquisition costs | 80 | 82 | 87 | 89 |
Corporate & Other | Corporate and Other | ||||
Deferred Policy Acquisition Cost [Line Items] | ||||
Deferred policy acquisition costs | 114 | 116 | $ 124 | $ 127 |
Corporate & Other | Other | ||||
Deferred Policy Acquisition Cost [Line Items] | ||||
Deferred policy acquisition costs | $ 23 | $ 24 |
DAC AND OTHER DEFERRED ASSETS_4
DAC AND OTHER DEFERRED ASSETS/LIABILITIES - DAC Costs (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Movement Analysis of Deferred Policy Acquisition Costs [Roll Forward] | ||
Balance, beginning of period | $ 6,705 | |
Balance, end of year | 6,804 | |
Other | ||
Movement Analysis of Deferred Policy Acquisition Costs [Roll Forward] | ||
Amortization | (1) | |
Corporate Segment | ||
Movement Analysis of Deferred Policy Acquisition Costs [Roll Forward] | ||
Balance, beginning of period | 6,681 | $ 6,342 |
Capitalization | 271 | 202 |
Amortization | (171) | (152) |
Balance, end of year | 6,781 | 6,392 |
Protection Solutions | Term | ||
Movement Analysis of Deferred Policy Acquisition Costs [Roll Forward] | ||
Balance, beginning of period | 337 | 362 |
Capitalization | 4 | 4 |
Amortization | (10) | (10) |
Balance, end of year | 331 | 356 |
Protection Solutions | UL | ||
Movement Analysis of Deferred Policy Acquisition Costs [Roll Forward] | ||
Balance, beginning of period | 174 | 179 |
Capitalization | 3 | 1 |
Amortization | (3) | (3) |
Balance, end of year | 174 | 177 |
Protection Solutions | VUL | ||
Movement Analysis of Deferred Policy Acquisition Costs [Roll Forward] | ||
Balance, beginning of period | 987 | 889 |
Capitalization | 37 | 35 |
Amortization | (15) | (14) |
Balance, end of year | 1,009 | 910 |
Protection Solutions | IUL | ||
Movement Analysis of Deferred Policy Acquisition Costs [Roll Forward] | ||
Balance, beginning of period | 188 | 185 |
Capitalization | 2 | 3 |
Amortization | (3) | (3) |
Balance, end of year | 187 | 185 |
Individual Retirement | GMxB Core | ||
Movement Analysis of Deferred Policy Acquisition Costs [Roll Forward] | ||
Balance, beginning of period | 1,602 | 1,625 |
Capitalization | 39 | 19 |
Amortization | (37) | (35) |
Balance, end of year | 1,604 | 1,609 |
Individual Retirement | EI | ||
Movement Analysis of Deferred Policy Acquisition Costs [Roll Forward] | ||
Balance, beginning of period | 155 | 156 |
Capitalization | 2 | 3 |
Amortization | (3) | (3) |
Balance, end of year | 154 | 156 |
Individual Retirement | IE | ||
Movement Analysis of Deferred Policy Acquisition Costs [Roll Forward] | ||
Balance, beginning of period | 172 | 148 |
Capitalization | 12 | 11 |
Amortization | (4) | (3) |
Balance, end of year | 180 | 156 |
Individual Retirement | SCS | ||
Movement Analysis of Deferred Policy Acquisition Costs [Roll Forward] | ||
Balance, beginning of period | 1,571 | 1,279 |
Capitalization | 148 | 101 |
Amortization | (64) | (47) |
Balance, end of year | 1,655 | 1,333 |
Legacy Segment | GMxB Legacy | ||
Movement Analysis of Deferred Policy Acquisition Costs [Roll Forward] | ||
Balance, beginning of period | 555 | 593 |
Capitalization | 7 | 6 |
Amortization | (16) | (16) |
Balance, end of year | 546 | 583 |
Group Retirement | EG | ||
Movement Analysis of Deferred Policy Acquisition Costs [Roll Forward] | ||
Balance, beginning of period | 742 | 710 |
Capitalization | 15 | 16 |
Amortization | (10) | (10) |
Balance, end of year | 747 | 716 |
Group Retirement | Momentum | ||
Movement Analysis of Deferred Policy Acquisition Costs [Roll Forward] | ||
Balance, beginning of period | 82 | 89 |
Capitalization | 2 | 3 |
Amortization | (4) | (5) |
Balance, end of year | 80 | 87 |
Corporate & Other | CB | ||
Movement Analysis of Deferred Policy Acquisition Costs [Roll Forward] | ||
Balance, beginning of period | 116 | 127 |
Capitalization | 0 | 0 |
Amortization | (2) | (3) |
Balance, end of year | $ 114 | $ 124 |
DAC AND OTHER DEFERRED ASSETS_5
DAC AND OTHER DEFERRED ASSETS/LIABILITIES - DAC Credits (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
GMxB Core | ||
Movement in Deferred Sales Inducements [Roll Forward] | ||
Balance, beginning of year | $ 127 | $ 137 |
Capitalization | 1 | 0 |
Amortization | (3) | (3) |
Balance, end of year | 125 | 134 |
GMxB Legacy | ||
Movement in Deferred Sales Inducements [Roll Forward] | ||
Balance, beginning of year | 179 | 200 |
Capitalization | 0 | 0 |
Amortization | (5) | (5) |
Balance, end of year | 174 | 195 |
UL | ||
Movement in Deferred Revenue [Roll Forward] | ||
Balance, beginning of period | 107 | 95 |
Capitalization | 4 | 5 |
Amortization | (2) | (2) |
Balance, end of period | 109 | 98 |
VUL | ||
Movement in Deferred Revenue [Roll Forward] | ||
Balance, beginning of period | 754 | 684 |
Capitalization | 32 | 27 |
Amortization | (12) | (10) |
Balance, end of period | 774 | 701 |
IUL | ||
Movement in Deferred Revenue [Roll Forward] | ||
Balance, beginning of period | 210 | 157 |
Capitalization | 14 | 17 |
Amortization | (3) | (3) |
Balance, end of period | $ 221 | $ 171 |
FAIR VALUE DISCLOSURES - Assets
FAIR VALUE DISCLOSURES - Assets and Liabilities Measured on Recurring Basis (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 | |
Investments | |||
Fixed maturities, AFS: | $ 67,606 | $ 67,030 | |
Fixed maturities, at fair value using the fair value option | [1] | 1,687 | 1,654 |
Liabilities: | |||
Notes issued by consolidated VIE's, at fair value using the fair value option | [1] | 1,580 | 1,559 |
Liability for market risk benefits | 12,814 | 14,612 | |
Accrued interest payable for notes issued by consolidated variable interest entity | 19 | 20 | |
Carrying Value | Other liabilities | |||
Investments | |||
Other equity investments | 10 | 4 | |
U.S. Treasury, government and agency | |||
Investments | |||
Fixed maturities, AFS: | 4,495 | 4,631 | |
States and political subdivisions | |||
Investments | |||
Fixed maturities, AFS: | 513 | 549 | |
Foreign governments | |||
Investments | |||
Fixed maturities, AFS: | 591 | 611 | |
Residential mortgage-backed | |||
Investments | |||
Fixed maturities, AFS: | 2,540 | 2,355 | |
Asset-backed | |||
Investments | |||
Fixed maturities, AFS: | 11,827 | 11,001 | |
Commercial mortgage-backed | |||
Investments | |||
Fixed maturities, AFS: | 3,223 | 3,082 | |
Redeemable preferred stock | |||
Investments | |||
Fixed maturities, AFS: | 59 | 59 | |
Recurring | |||
Investments | |||
Fixed maturities, AFS: | 67,606 | 67,030 | |
Fixed maturities, at fair value using the fair value option | 1,687 | 1,654 | |
Other equity investments | 769 | 735 | |
Trading securities | 1,340 | 1,057 | |
Other invested assets: | 13,205 | 10,736 | |
Cash equivalents | 8,624 | 6,595 | |
Segregated securities | 866 | 868 | |
Purchased market risk benefits | 8,337 | 9,427 | |
Assets for market risk benefits | 818 | 591 | |
Separate Accounts assets | 132,891 | 126,723 | |
Total Assets | 236,143 | 225,416 | |
Liabilities: | |||
Notes issued by consolidated VIE's, at fair value using the fair value option | 1,561 | 1,539 | |
Liability for market risk benefits | 12,814 | 14,612 | |
Contingent payment arrangements | 254 | 253 | |
Total Liabilities | 28,392 | 27,152 | |
Recurring | Variable Interest Entity, Primary Beneficiary | |||
Liabilities: | |||
Guarantees | 5 | 3 | |
Recurring | Corporate | |||
Investments | |||
Fixed maturities, AFS: | 44,358 | 44,742 | |
Recurring | U.S. Treasury, government and agency | |||
Investments | |||
Fixed maturities, AFS: | 4,495 | 4,631 | |
Recurring | States and political subdivisions | |||
Investments | |||
Fixed maturities, AFS: | 513 | 549 | |
Recurring | Foreign governments | |||
Investments | |||
Fixed maturities, AFS: | 591 | 611 | |
Recurring | Residential mortgage-backed | |||
Investments | |||
Fixed maturities, AFS: | 2,540 | 2,355 | |
Recurring | Asset-backed | |||
Investments | |||
Fixed maturities, AFS: | 11,827 | 11,001 | |
Recurring | Commercial mortgage-backed | |||
Investments | |||
Fixed maturities, AFS: | 3,223 | 3,082 | |
Recurring | Redeemable preferred stock | |||
Investments | |||
Fixed maturities, AFS: | 59 | 59 | |
Recurring | Short-term investments | |||
Investments | |||
Other invested assets: | 411 | 429 | |
Recurring | Assets of consolidated VIEs/VOEs | |||
Investments | |||
Other invested assets: | 307 | 414 | |
Recurring | Swaps | |||
Investments | |||
Other invested assets: | (278) | (190) | |
Recurring | Credit default swaps | |||
Investments | |||
Other invested assets: | 3 | 3 | |
Recurring | Futures | |||
Investments | |||
Other invested assets: | (1) | (4) | |
Recurring | Options | |||
Investments | |||
Other invested assets: | 12,763 | 10,084 | |
Recurring | SCS, SIO, MSO and IUL indexed features’ liability | |||
Liabilities: | |||
Guarantees | 13,758 | 10,745 | |
Recurring | Level 1 | |||
Investments | |||
Fixed maturities, AFS: | 0 | 0 | |
Fixed maturities, at fair value using the fair value option | 0 | 0 | |
Other equity investments | 251 | 217 | |
Trading securities | 393 | 321 | |
Other invested assets: | 63 | 57 | |
Cash equivalents | 7,451 | 5,901 | |
Segregated securities | 0 | 0 | |
Purchased market risk benefits | 0 | 0 | |
Assets for market risk benefits | 0 | 0 | |
Separate Accounts assets | 130,299 | 124,099 | |
Total Assets | 138,457 | 130,595 | |
Liabilities: | |||
Notes issued by consolidated VIE's, at fair value using the fair value option | 0 | 0 | |
Liability for market risk benefits | 0 | 0 | |
Contingent payment arrangements | 0 | 0 | |
Total Liabilities | 0 | 1 | |
Recurring | Level 1 | Variable Interest Entity, Primary Beneficiary | |||
Liabilities: | |||
Guarantees | 0 | 1 | |
Recurring | Level 1 | Corporate | |||
Investments | |||
Fixed maturities, AFS: | 0 | 0 | |
Recurring | Level 1 | U.S. Treasury, government and agency | |||
Investments | |||
Fixed maturities, AFS: | 0 | 0 | |
Recurring | Level 1 | States and political subdivisions | |||
Investments | |||
Fixed maturities, AFS: | 0 | 0 | |
Recurring | Level 1 | Foreign governments | |||
Investments | |||
Fixed maturities, AFS: | 0 | 0 | |
Recurring | Level 1 | Residential mortgage-backed | |||
Investments | |||
Fixed maturities, AFS: | 0 | 0 | |
Recurring | Level 1 | Asset-backed | |||
Investments | |||
Fixed maturities, AFS: | 0 | 0 | |
Recurring | Level 1 | Commercial mortgage-backed | |||
Investments | |||
Fixed maturities, AFS: | 0 | 0 | |
Recurring | Level 1 | Redeemable preferred stock | |||
Investments | |||
Fixed maturities, AFS: | 0 | 0 | |
Recurring | Level 1 | Short-term investments | |||
Investments | |||
Other invested assets: | 0 | 0 | |
Recurring | Level 1 | Assets of consolidated VIEs/VOEs | |||
Investments | |||
Other invested assets: | 64 | 61 | |
Recurring | Level 1 | Swaps | |||
Investments | |||
Other invested assets: | 0 | 0 | |
Recurring | Level 1 | Credit default swaps | |||
Investments | |||
Other invested assets: | 0 | 0 | |
Recurring | Level 1 | Futures | |||
Investments | |||
Other invested assets: | (1) | (4) | |
Recurring | Level 1 | Options | |||
Investments | |||
Other invested assets: | 0 | 0 | |
Recurring | Level 1 | SCS, SIO, MSO and IUL indexed features’ liability | |||
Liabilities: | |||
Guarantees | 0 | 0 | |
Recurring | Level 2 | |||
Investments | |||
Fixed maturities, AFS: | 65,190 | 64,791 | |
Fixed maturities, at fair value using the fair value option | 1,443 | 1,473 | |
Other equity investments | 463 | 464 | |
Trading securities | 886 | 675 | |
Other invested assets: | 13,139 | 10,676 | |
Cash equivalents | 1,173 | 694 | |
Segregated securities | 866 | 868 | |
Purchased market risk benefits | 0 | 0 | |
Assets for market risk benefits | 0 | 0 | |
Separate Accounts assets | 2,591 | 2,624 | |
Total Assets | 85,751 | 82,265 | |
Liabilities: | |||
Notes issued by consolidated VIE's, at fair value using the fair value option | 1,561 | 1,539 | |
Liability for market risk benefits | 0 | 0 | |
Contingent payment arrangements | 0 | 0 | |
Total Liabilities | 15,324 | 12,286 | |
Recurring | Level 2 | Variable Interest Entity, Primary Beneficiary | |||
Liabilities: | |||
Guarantees | 5 | 2 | |
Recurring | Level 2 | Corporate | |||
Investments | |||
Fixed maturities, AFS: | 42,020 | 42,584 | |
Recurring | Level 2 | U.S. Treasury, government and agency | |||
Investments | |||
Fixed maturities, AFS: | 4,495 | 4,631 | |
Recurring | Level 2 | States and political subdivisions | |||
Investments | |||
Fixed maturities, AFS: | 513 | 522 | |
Recurring | Level 2 | Foreign governments | |||
Investments | |||
Fixed maturities, AFS: | 591 | 611 | |
Recurring | Level 2 | Residential mortgage-backed | |||
Investments | |||
Fixed maturities, AFS: | 2,540 | 2,355 | |
Recurring | Level 2 | Asset-backed | |||
Investments | |||
Fixed maturities, AFS: | 11,756 | 10,954 | |
Recurring | Level 2 | Commercial mortgage-backed | |||
Investments | |||
Fixed maturities, AFS: | 3,216 | 3,075 | |
Recurring | Level 2 | Redeemable preferred stock | |||
Investments | |||
Fixed maturities, AFS: | 59 | 59 | |
Recurring | Level 2 | Short-term investments | |||
Investments | |||
Other invested assets: | 411 | 429 | |
Recurring | Level 2 | Assets of consolidated VIEs/VOEs | |||
Investments | |||
Other invested assets: | 240 | 350 | |
Recurring | Level 2 | Swaps | |||
Investments | |||
Other invested assets: | (278) | (190) | |
Recurring | Level 2 | Credit default swaps | |||
Investments | |||
Other invested assets: | 3 | 3 | |
Recurring | Level 2 | Futures | |||
Investments | |||
Other invested assets: | 0 | 0 | |
Recurring | Level 2 | Options | |||
Investments | |||
Other invested assets: | 12,763 | 10,084 | |
Recurring | Level 2 | SCS, SIO, MSO and IUL indexed features’ liability | |||
Liabilities: | |||
Guarantees | 13,758 | 10,745 | |
Recurring | Level 3 | |||
Investments | |||
Fixed maturities, AFS: | 2,416 | 2,239 | |
Fixed maturities, at fair value using the fair value option | 244 | 181 | |
Other equity investments | 55 | 54 | |
Trading securities | 61 | 61 | |
Other invested assets: | 3 | 3 | |
Cash equivalents | 0 | 0 | |
Segregated securities | 0 | 0 | |
Purchased market risk benefits | 8,337 | 9,427 | |
Assets for market risk benefits | 818 | 591 | |
Separate Accounts assets | 1 | 0 | |
Total Assets | 11,935 | 12,556 | |
Liabilities: | |||
Notes issued by consolidated VIE's, at fair value using the fair value option | 0 | 0 | |
Liability for market risk benefits | 12,814 | 14,612 | |
Contingent payment arrangements | 254 | 253 | |
Total Liabilities | 13,068 | 14,865 | |
Recurring | Level 3 | Variable Interest Entity, Primary Beneficiary | |||
Liabilities: | |||
Guarantees | 0 | 0 | |
Recurring | Level 3 | Corporate | |||
Investments | |||
Fixed maturities, AFS: | 2,338 | 2,158 | |
Recurring | Level 3 | U.S. Treasury, government and agency | |||
Investments | |||
Fixed maturities, AFS: | 0 | 0 | |
Recurring | Level 3 | States and political subdivisions | |||
Investments | |||
Fixed maturities, AFS: | 0 | 27 | |
Recurring | Level 3 | Foreign governments | |||
Investments | |||
Fixed maturities, AFS: | 0 | 0 | |
Recurring | Level 3 | Residential mortgage-backed | |||
Investments | |||
Fixed maturities, AFS: | 0 | 0 | |
Recurring | Level 3 | Asset-backed | |||
Investments | |||
Fixed maturities, AFS: | 71 | 47 | |
Recurring | Level 3 | Commercial mortgage-backed | |||
Investments | |||
Fixed maturities, AFS: | 7 | 7 | |
Recurring | Level 3 | Redeemable preferred stock | |||
Investments | |||
Fixed maturities, AFS: | 0 | 0 | |
Recurring | Level 3 | Short-term investments | |||
Investments | |||
Other invested assets: | 0 | 0 | |
Recurring | Level 3 | Assets of consolidated VIEs/VOEs | |||
Investments | |||
Other invested assets: | 3 | 3 | |
Recurring | Level 3 | Swaps | |||
Investments | |||
Other invested assets: | 0 | 0 | |
Recurring | Level 3 | Credit default swaps | |||
Investments | |||
Other invested assets: | 0 | 0 | |
Recurring | Level 3 | Futures | |||
Investments | |||
Other invested assets: | 0 | 0 | |
Recurring | Level 3 | Options | |||
Investments | |||
Other invested assets: | 0 | 0 | |
Recurring | Level 3 | SCS, SIO, MSO and IUL indexed features’ liability | |||
Liabilities: | |||
Guarantees | 0 | 0 | |
Recurring | NAV | |||
Investments | |||
Separate Accounts assets | $ 354 | $ 371 | |
[1]See Note 2 of the Notes to these Consolidated Financial Statements for details of balances with VIEs. |
FAIR VALUE DISCLOSURES - Narrat
FAIR VALUE DISCLOSURES - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | |
Fair Value Inputs Assets Quantitative Information [Line Items] | |||
Change in purchased market risk benefit asset fair value | $ 558 | $ 687 | |
AFS fixed maturities transferred from Level 3 to Level 2 | 169 | $ 401 | |
AFS fixed maturities transferred from Level 2 to Level 3 | $ 120 | $ 56 | |
Percentage of total equity representing AFS fixed maturities transferred | 7.70% | 8.40% | |
Nonrecurring | Level 3 | |||
Fair Value Inputs Assets Quantitative Information [Line Items] | |||
Investments, fair value | $ 1,200 | $ 1,100 |
FAIR VALUE DISCLOSURES - Fair V
FAIR VALUE DISCLOSURES - Fair Value Measurement Reconciliation for All Levels (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Total gains and (losses), realized and unrealized, included in: | ||
Transfers into level 3 | $ 120 | $ 56 |
Transfers out of level 3 | (169) | (401) |
Level 3 | Corporate | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning Balance | 2,158 | 2,121 |
Total gains and (losses), realized and unrealized, included in: | ||
Net investment income (loss) | 2 | 2 |
Investment gains (losses), net | (1) | (3) |
Subtotal | 1 | (1) |
Other comprehensive income (loss) | 10 | 18 |
Purchases | 215 | 171 |
Sales | (56) | (91) |
Settlements | 0 | 0 |
Other | 0 | 0 |
Activity related to consolidated VIEs/VOEs | 0 | 0 |
Transfers into level 3 | 57 | 0 |
Transfers out of level 3 | (47) | (268) |
Ending Balance | 2,338 | 1,950 |
Change in unrealized gains or losses for the period included in earnings for instruments held at the end of the reporting period | 0 | 0 |
Change in unrealized gains or losses for the period included in other comprehensive income for instruments held at the end of the reporting period | 10 | 17 |
Level 3 | States and political subdivisions | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning Balance | 27 | 28 |
Total gains and (losses), realized and unrealized, included in: | ||
Net investment income (loss) | 0 | 0 |
Investment gains (losses), net | 0 | 0 |
Subtotal | 0 | 0 |
Other comprehensive income (loss) | 0 | 0 |
Purchases | 0 | 0 |
Sales | 0 | 0 |
Settlements | 0 | 0 |
Other | 0 | 0 |
Activity related to consolidated VIEs/VOEs | 0 | 0 |
Transfers into level 3 | 0 | 0 |
Transfers out of level 3 | (27) | 0 |
Ending Balance | 0 | 28 |
Change in unrealized gains or losses for the period included in earnings for instruments held at the end of the reporting period | 0 | 0 |
Change in unrealized gains or losses for the period included in other comprehensive income for instruments held at the end of the reporting period | 0 | 0 |
Level 3 | Asset-backed | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning Balance | 47 | 0 |
Total gains and (losses), realized and unrealized, included in: | ||
Net investment income (loss) | 0 | 0 |
Investment gains (losses), net | 0 | 0 |
Subtotal | 0 | 0 |
Other comprehensive income (loss) | 0 | 0 |
Purchases | 48 | 12 |
Sales | (10) | 0 |
Settlements | 0 | 0 |
Other | 0 | 0 |
Activity related to consolidated VIEs/VOEs | 0 | 0 |
Transfers into level 3 | 0 | 0 |
Transfers out of level 3 | (14) | 0 |
Ending Balance | 71 | 12 |
Change in unrealized gains or losses for the period included in earnings for instruments held at the end of the reporting period | 0 | 0 |
Change in unrealized gains or losses for the period included in other comprehensive income for instruments held at the end of the reporting period | 0 | 0 |
Level 3 | RMBS | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning Balance | 0 | 34 |
Total gains and (losses), realized and unrealized, included in: | ||
Net investment income (loss) | 0 | 0 |
Investment gains (losses), net | 0 | 0 |
Subtotal | 0 | 0 |
Other comprehensive income (loss) | 0 | 0 |
Purchases | 0 | 0 |
Sales | 0 | 0 |
Settlements | 0 | 0 |
Other | 0 | 0 |
Activity related to consolidated VIEs/VOEs | 0 | 0 |
Transfers into level 3 | 0 | 0 |
Transfers out of level 3 | 0 | (34) |
Ending Balance | 0 | 0 |
Change in unrealized gains or losses for the period included in earnings for instruments held at the end of the reporting period | 0 | 0 |
Change in unrealized gains or losses for the period included in other comprehensive income for instruments held at the end of the reporting period | 0 | 0 |
Level 3 | CMBS | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning Balance | 7 | 32 |
Total gains and (losses), realized and unrealized, included in: | ||
Net investment income (loss) | 0 | 0 |
Investment gains (losses), net | 0 | 0 |
Subtotal | 0 | 0 |
Other comprehensive income (loss) | 0 | 0 |
Purchases | 0 | 2 |
Sales | 0 | 0 |
Settlements | 0 | 0 |
Other | 0 | 0 |
Activity related to consolidated VIEs/VOEs | 0 | 0 |
Transfers into level 3 | 0 | 0 |
Transfers out of level 3 | 0 | 0 |
Ending Balance | 7 | 34 |
Change in unrealized gains or losses for the period included in earnings for instruments held at the end of the reporting period | 0 | 0 |
Change in unrealized gains or losses for the period included in other comprehensive income for instruments held at the end of the reporting period | 0 | 0 |
Level 3 | Fixed maturities, at FVO | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning Balance | 181 | 224 |
Total gains and (losses), realized and unrealized, included in: | ||
Net investment income (loss) | 16 | 3 |
Investment gains (losses), net | 0 | 0 |
Subtotal | 16 | 3 |
Other comprehensive income (loss) | 0 | 0 |
Purchases | 80 | 12 |
Sales | (15) | 0 |
Settlements | 0 | 0 |
Other | 0 | 0 |
Activity related to consolidated VIEs/VOEs | 0 | 0 |
Transfers into level 3 | 63 | 56 |
Transfers out of level 3 | (81) | (99) |
Ending Balance | 244 | 196 |
Change in unrealized gains or losses for the period included in earnings for instruments held at the end of the reporting period | 0 | 3 |
Change in unrealized gains or losses for the period included in other comprehensive income for instruments held at the end of the reporting period | 28 | 0 |
Level 3 | Other equity investments | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning Balance | 57 | 17 |
Total gains and (losses), realized and unrealized, included in: | ||
Net investment income (loss) | 1 | (3) |
Investment gains (losses), net | 0 | 0 |
Subtotal | 1 | (3) |
Other comprehensive income (loss) | 0 | 0 |
Purchases | 42 | 0 |
Sales | (42) | 0 |
Settlements | 0 | 0 |
Other | 0 | 0 |
Activity related to consolidated VIEs/VOEs | 0 | 0 |
Transfers into level 3 | 0 | 1 |
Transfers out of level 3 | 0 | 0 |
Ending Balance | 58 | 15 |
Change in unrealized gains or losses for the period included in earnings for instruments held at the end of the reporting period | 1 | (3) |
Change in unrealized gains or losses for the period included in other comprehensive income for instruments held at the end of the reporting period | 0 | 0 |
Level 3 | Trading Securities, at Fair Value | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning Balance | 61 | 55 |
Total gains and (losses), realized and unrealized, included in: | ||
Net investment income (loss) | 0 | 0 |
Investment gains (losses), net | 0 | 0 |
Subtotal | 0 | 0 |
Other comprehensive income (loss) | 0 | 0 |
Purchases | 0 | 0 |
Sales | 0 | 0 |
Settlements | 0 | 0 |
Other | 0 | 0 |
Activity related to consolidated VIEs/VOEs | 0 | 0 |
Transfers into level 3 | 0 | 0 |
Transfers out of level 3 | 0 | 0 |
Ending Balance | 61 | 55 |
Change in unrealized gains or losses for the period included in earnings for instruments held at the end of the reporting period | 0 | 0 |
Change in unrealized gains or losses for the period included in other comprehensive income for instruments held at the end of the reporting period | 0 | 0 |
Level 3 | Separate Accounts Assets | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning Balance | 0 | 1 |
Total gains and (losses), realized and unrealized, included in: | ||
Net investment income (loss) | 0 | 0 |
Investment gains (losses), net | 0 | 0 |
Subtotal | 0 | 0 |
Other comprehensive income (loss) | 0 | 0 |
Purchases | 1 | 0 |
Sales | 0 | 0 |
Settlements | 0 | 0 |
Other | 0 | 0 |
Activity related to consolidated VIEs/VOEs | 0 | 0 |
Transfers into level 3 | 0 | 0 |
Transfers out of level 3 | 0 | 0 |
Ending Balance | 1 | 1 |
Change in unrealized gains or losses for the period included in earnings for instruments held at the end of the reporting period | 0 | 0 |
Change in unrealized gains or losses for the period included in other comprehensive income for instruments held at the end of the reporting period | 0 | 0 |
Level 3 | Contingent Payment Arrangement | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning Balance | (253) | (247) |
Total gains and (losses), realized and unrealized, included in: | ||
Net investment income (loss) | 0 | 0 |
Investment gains (losses), net | 0 | 0 |
Subtotal | 0 | 0 |
Other comprehensive income (loss) | 0 | 0 |
Purchases | 0 | 0 |
Sales | 0 | 0 |
Settlements | 1 | 0 |
Other | (2) | (1) |
Activity related to consolidated VIEs/VOEs | 0 | 0 |
Transfers into level 3 | 0 | 0 |
Transfers out of level 3 | 0 | 0 |
Ending Balance | (254) | (248) |
Change in unrealized gains or losses for the period included in earnings for instruments held at the end of the reporting period | 0 | 0 |
Change in unrealized gains or losses for the period included in other comprehensive income for instruments held at the end of the reporting period | $ 0 | $ 0 |
FAIR VALUE DISCLOSURES - Quanti
FAIR VALUE DISCLOSURES - Quantitative Information about Level 3 (Details) $ in Millions | 3 Months Ended | 9 Months Ended | |
Mar. 31, 2024 USD ($) | Sep. 30, 2023 | Dec. 31, 2023 USD ($) | |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Liability for market risk benefits | $ 12,814 | $ 14,612 | |
Assets for market risk benefits | 818 | 591 | |
Level 3 | Discounted cash flow | Alliance Bernstein | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
AB Contingent consideration payable | $ 254 | $ 253 | |
Level 3 | Discounted cash flow | Discount Rate | Minimum | Alliance Bernstein | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Expected revenue growth and discount rate | 0.019 | 0.019 | |
Level 3 | Discounted cash flow | Discount Rate | Maximum | Alliance Bernstein | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Expected revenue growth and discount rate | 0.104 | 0.104 | |
Level 3 | Discounted cash flow | Discount Rate | Weighted Average | Alliance Bernstein | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Expected revenue growth and discount rate | 0.046 | 0.046 | |
Level 3 | Discounted cash flow | Expected Revenue Growth Rate | Minimum | Alliance Bernstein | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Expected revenue growth and discount rate | 0.020 | 0.020 | |
Level 3 | Discounted cash flow | Expected Revenue Growth Rate | Maximum | Alliance Bernstein | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Expected revenue growth and discount rate | 0.293 | 0.839 | |
Level 3 | Discounted cash flow | Expected Revenue Growth Rate | Weighted Average | Alliance Bernstein | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Expected revenue growth and discount rate | 0.079 | 0.103 | |
Level 3 | Corporate | Matrix pricing model | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Fair value of fixed maturities AFS | $ 350 | $ 373 | |
Level 3 | Corporate | Matrix pricing model | Spread over Benchmark | Minimum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.0020 | 0.0020 | |
Level 3 | Corporate | Matrix pricing model | Spread over Benchmark | Maximum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.0270 | 0.0747 | |
Level 3 | Corporate | Matrix pricing model | Spread over Benchmark | Weighted Average | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.0145 | 0.0181 | |
Level 3 | Corporate | Market comparable companies | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Fair value of fixed maturities AFS | $ 1,172 | $ 979 | |
Level 3 | Corporate | Market comparable companies | EBITDA Multiples | Minimum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 3.3 | 3.3 | |
Level 3 | Corporate | Market comparable companies | EBITDA Multiples | Maximum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 30.5 | 29 | |
Level 3 | Corporate | Market comparable companies | EBITDA Multiples | Weighted Average | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 13.5 | 13.6 | |
Level 3 | Corporate | Market comparable companies | Discount Rate | Minimum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0 | 0 | |
Level 3 | Corporate | Market comparable companies | Discount Rate | Maximum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.192 | 0.228 | |
Level 3 | Corporate | Market comparable companies | Discount Rate | Weighted Average | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.038 | 0.039 | |
Level 3 | Corporate | Market comparable companies | Cash Flow Multiples | Minimum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.8 | 0.8 | |
Level 3 | Corporate | Market comparable companies | Cash Flow Multiples | Maximum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 9.3 | 10 | |
Level 3 | Corporate | Market comparable companies | Cash Flow Multiples | Weighted Average | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 6.2 | 6.3 | |
Level 3 | Corporate | Market comparable companies | Loan to Value | Minimum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0 | 0.034 | |
Level 3 | Corporate | Market comparable companies | Loan to Value | Maximum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.614 | 0.610 | |
Level 3 | Corporate | Market comparable companies | Loan to Value | Weighted Average | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.140 | 0.138 | |
Level 3 | Trading Securities, at Fair Value | Discounted cash flow | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Fair value of fixed maturities AFS | $ 61 | $ 61 | |
Discount years | 7 years | 7 years | |
Level 3 | Trading Securities, at Fair Value | Discounted cash flow | Earnings/Revenue Multiple | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 9.1 | 9.1 | |
Level 3 | Trading Securities, at Fair Value | Discounted cash flow | Discount Factor | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.100 | 0.1000 | |
Level 3 | Other equity investments | Discounted cash flow | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Fair value of fixed maturities AFS | $ 2 | $ 2 | |
Level 3 | Other equity investments | Discounted cash flow | Earnings/Revenue Multiple | Minimum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 3.9 | 3.9 | |
Level 3 | Other equity investments | Discounted cash flow | Earnings/Revenue Multiple | Maximum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 7 | 8.4 | |
Level 3 | Other equity investments | Discounted cash flow | Earnings/Revenue Multiple | Weighted Average | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 5.9 | 6.5 | |
Level 3 | Purchased MRB asset | Discounted cash flow | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Fair value of fixed maturities AFS | $ 8,337 | $ 9,427 | |
Level 3 | Purchased MRB asset | Discounted cash flow | Lapse Rate | Minimum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.0021 | 0.0021 | |
Level 3 | Purchased MRB asset | Discounted cash flow | Lapse Rate | Maximum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.1238 | 0.1238 | |
Level 3 | Purchased MRB asset | Discounted cash flow | Lapse Rate | Weighted Average | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.0196 | 0.0179 | |
Level 3 | Purchased MRB asset | Discounted cash flow | Withdrawal Rate | Minimum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.0007 | 0.0007 | |
Level 3 | Purchased MRB asset | Discounted cash flow | Withdrawal Rate | Maximum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.1497 | 0.1497 | |
Level 3 | Purchased MRB asset | Discounted cash flow | Withdrawal Rate | Weighted Average | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.0050 | 0.0046 | |
Level 3 | Purchased MRB asset | Discounted cash flow | GMIB Utilization Rate | Minimum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.0004 | 0.0004 | |
Level 3 | Purchased MRB asset | Discounted cash flow | GMIB Utilization Rate | Maximum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.6621 | 0.6621 | |
Level 3 | Purchased MRB asset | Discounted cash flow | GMIB Utilization Rate | Weighted Average | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.0691 | 0.0744 | |
Level 3 | Purchased MRB asset | Discounted cash flow | Non-Performance Risk | Minimum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.0032 | 0.0035 | |
Level 3 | Purchased MRB asset | Discounted cash flow | Non-Performance Risk | Maximum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.0101 | 0.0097 | |
Level 3 | Purchased MRB asset | Discounted cash flow | Non-Performance Risk | Weighted Average | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.0040 | 0.0045 | |
Level 3 | Purchased MRB asset | Discounted cash flow | Volatility Rate - Equity | Minimum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.12 | 0.11 | |
Level 3 | Purchased MRB asset | Discounted cash flow | Volatility Rate - Equity | Maximum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.28 | 0.28 | |
Level 3 | Purchased MRB asset | Discounted cash flow | Volatility Rate - Equity | Weighted Average | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.23 | 0.23 | |
Level 3 | Purchased MRB asset | Discounted cash flow | Mortality | Ages 0 - 40 | Minimum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.0001 | 0.0001 | |
Level 3 | Purchased MRB asset | Discounted cash flow | Mortality | Ages 0 - 40 | Maximum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.0018 | 0.0018 | |
Level 3 | Purchased MRB asset | Discounted cash flow | Mortality | Ages 0 - 40 | Weighted Average | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.0325 | 0.0307 | |
Level 3 | Purchased MRB asset | Discounted cash flow | Mortality | Ages 41 - 60 | Minimum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.0007 | 0.0007 | |
Level 3 | Purchased MRB asset | Discounted cash flow | Mortality | Ages 41 - 60 | Maximum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.0053 | 0.0053 | |
Level 3 | Purchased MRB asset | Discounted cash flow | Mortality | Ages 61 - 115 | Minimum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.0033 | 0.0033 | |
Level 3 | Purchased MRB asset | Discounted cash flow | Mortality | Ages 61 - 115 | Maximum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Percentage measurement input of equity securities | 0.4200 | 0.4200 | |
Level 3 | Direct MRB | Discounted cash flow | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Direct MRB | $ 11,996 | $ 14,021 | |
Level 3 | Direct MRB | Discounted cash flow | Lapse Rate | Minimum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Measurement input of servicing liability | 0.0021 | 0.0021 | |
Level 3 | Direct MRB | Discounted cash flow | Lapse Rate | Maximum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Measurement input of servicing liability | 0.2937 | 0.2937 | |
Level 3 | Direct MRB | Discounted cash flow | Lapse Rate | Weighted Average | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Measurement input of servicing liability | 0.0320 | 0.0307 | |
Level 3 | Direct MRB | Discounted cash flow | Withdrawal Rate | Minimum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Measurement input of servicing liability | 0 | 0 | |
Level 3 | Direct MRB | Discounted cash flow | Withdrawal Rate | Maximum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Measurement input of servicing liability | 0.1497 | 0.1497 | |
Level 3 | Direct MRB | Discounted cash flow | Withdrawal Rate | Weighted Average | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Measurement input of servicing liability | 0.0067 | 0.0064 | |
Level 3 | Direct MRB | Discounted cash flow | Non-Performance Risk | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Measurement input of servicing liability | 0.0117 | 0.0118 | |
Level 3 | Direct MRB | Discounted cash flow | Non-Performance Risk | Weighted Average | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Measurement input of servicing liability | 0.0117 | 0.0118 | |
Level 3 | Direct MRB | Discounted cash flow | Mortality | Ages 0 - 40 | Minimum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Measurement input of servicing liability | 0.0001 | 0.0001 | |
Level 3 | Direct MRB | Discounted cash flow | Mortality | Ages 0 - 40 | Maximum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Measurement input of servicing liability | 0.0018 | 0.0018 | |
Level 3 | Direct MRB | Discounted cash flow | Mortality | Ages 0 - 40 | Weighted Average | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Measurement input of servicing liability | 0.0267 | 0.0250 | |
Level 3 | Direct MRB | Discounted cash flow | Mortality | Ages 41 - 60 | Minimum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Measurement input of servicing liability | 0.0007 | 0.0007 | |
Level 3 | Direct MRB | Discounted cash flow | Mortality | Ages 41 - 60 | Maximum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Measurement input of servicing liability | 0.0053 | 0.0053 | |
Level 3 | Direct MRB | Discounted cash flow | Mortality | Ages 61 - 115 | Minimum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Measurement input of servicing liability | 0.0033 | 0.0033 | |
Level 3 | Direct MRB | Discounted cash flow | Mortality | Ages 61 - 115 | Maximum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Measurement input of servicing liability | 0.4200 | 0.4200 | |
Level 3 | Direct MRB | Discounted cash flow | Annuitization Rate | Minimum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Measurement input of servicing liability | 0.0004 | 0.0004 | |
Level 3 | Direct MRB | Discounted cash flow | Annuitization Rate | Maximum | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Measurement input of servicing liability | 1 | 1 | |
Level 3 | Direct MRB | Discounted cash flow | Annuitization Rate | Weighted Average | |||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | |||
Measurement input of servicing liability | 0.0515 | 0.0538 |
FAIR VALUE DISCLOSURES - Carryi
FAIR VALUE DISCLOSURES - Carrying Values and Fair Values of Financial Instruments (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 | |
Consolidated Amounts [Abstract] | |||
Mortgage loans on real estate | [1] | $ 18,570 | $ 18,171 |
Policy loans | 4,191 | 4,158 | |
Policyholders’ liabilities: Investment contracts | 100,246 | 95,673 | |
Separate Accounts liabilities | 133,735 | 127,251 | |
Carrying Value | |||
Consolidated Amounts [Abstract] | |||
Mortgage loans on real estate | 18,570 | 18,171 | |
Policy loans | 4,191 | 4,158 | |
Policyholders’ liabilities: Investment contracts | 1,608 | 1,663 | |
FHLB funding agreements | 7,168 | 7,618 | |
FABN funding agreements | 6,252 | 6,267 | |
Funding agreement-backed commercial paper (FABCP) | 663 | 939 | |
Long-term debt | 3,821 | 3,820 | |
Separate Accounts liabilities | 11,246 | 10,715 | |
Measured at Fair Value | |||
Consolidated Amounts [Abstract] | |||
Mortgage loans on real estate | 16,794 | 16,471 | |
Policy loans | 4,442 | 4,485 | |
Policyholders’ liabilities: Investment contracts | 1,559 | 1,634 | |
FHLB funding agreements | 7,086 | 7,567 | |
FABN funding agreements | 5,839 | 5,840 | |
Funding agreement-backed commercial paper (FABCP) | 675 | 948 | |
Long-term debt | 3,700 | 3,742 | |
Separate Accounts liabilities | 11,246 | 10,715 | |
Measured at Fair Value | Level 1 | |||
Consolidated Amounts [Abstract] | |||
Mortgage loans on real estate | 0 | 0 | |
Policy loans | 0 | 0 | |
Policyholders’ liabilities: Investment contracts | 0 | 0 | |
FHLB funding agreements | 0 | 0 | |
FABN funding agreements | 0 | 0 | |
Funding agreement-backed commercial paper (FABCP) | 0 | 0 | |
Long-term debt | 0 | 0 | |
Separate Accounts liabilities | 0 | 0 | |
Measured at Fair Value | Level 2 | |||
Consolidated Amounts [Abstract] | |||
Mortgage loans on real estate | 0 | 0 | |
Policy loans | 0 | 0 | |
Policyholders’ liabilities: Investment contracts | 0 | 0 | |
FHLB funding agreements | 7,086 | 7,567 | |
FABN funding agreements | 5,839 | 5,840 | |
Funding agreement-backed commercial paper (FABCP) | 675 | 948 | |
Long-term debt | 3,700 | 3,742 | |
Separate Accounts liabilities | 0 | 0 | |
Measured at Fair Value | Level 3 | |||
Consolidated Amounts [Abstract] | |||
Mortgage loans on real estate | 16,794 | 16,471 | |
Policy loans | 4,442 | 4,485 | |
Policyholders’ liabilities: Investment contracts | 1,559 | 1,634 | |
FHLB funding agreements | 0 | 0 | |
FABN funding agreements | 0 | 0 | |
Funding agreement-backed commercial paper (FABCP) | 0 | 0 | |
Long-term debt | 0 | 0 | |
Separate Accounts liabilities | $ 11,246 | $ 10,715 | |
[1]See Note 2 of the Notes to these Consolidated Financial Statements for details of balances with VIEs. |
LIABILITIES FOR FUTURE POLICY_3
LIABILITIES FOR FUTURE POLICYHOLDER BENEFITS - Policyholder Account Balance And Liability For Unpaid Claims And Claims Adjustment Expense (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Liability for Future Policy Benefit, Activity [Line Items] | ||
Future policy benefits and other policyholders' liabilities | $ 17,324 | $ 17,363 |
Future policyholder benefits total | ||
Liability for Future Policy Benefit, Activity [Line Items] | ||
Future policy benefits and other policyholders' liabilities | 15,352 | 15,414 |
Subtotal | ||
Liability for Future Policy Benefit, Activity [Line Items] | ||
Future policy benefits and other policyholders' liabilities | 9,020 | 9,000 |
Term | ||
Liability for Future Policy Benefit, Activity [Line Items] | ||
Future policy benefits and other policyholders' liabilities | 1,316 | 1,348 |
Individual Retirement - Payout | ||
Liability for Future Policy Benefit, Activity [Line Items] | ||
Future policy benefits and other policyholders' liabilities | 820 | 844 |
Payout - Legacy | ||
Liability for Future Policy Benefit, Activity [Line Items] | ||
Future policy benefits and other policyholders' liabilities | 3,767 | 3,620 |
Group Pension - Benefit Reserve & DPL | ||
Liability for Future Policy Benefit, Activity [Line Items] | ||
Future policy benefits and other policyholders' liabilities | 473 | 490 |
Health | ||
Liability for Future Policy Benefit, Activity [Line Items] | ||
Future policy benefits and other policyholders' liabilities | 1,450 | 1,505 |
UL | ||
Liability for Future Policy Benefit, Activity [Line Items] | ||
Future policy benefits and other policyholders' liabilities | 1,194 | 1,193 |
Whole Life Closed Block and Open Block products | ||
Liability for Future Policy Benefit, Activity [Line Items] | ||
Future policy benefits and other policyholders' liabilities | 5,384 | 5,444 |
Other | ||
Liability for Future Policy Benefit, Activity [Line Items] | ||
Future policy benefits and other policyholders' liabilities | 948 | 970 |
Other policyholder funds and dividends payable | ||
Liability for Future Policy Benefit, Activity [Line Items] | ||
Future policy benefits and other policyholders' liabilities | $ 1,972 | $ 1,949 |
LIABILITIES FOR FUTURE POLICY_4
LIABILITIES FOR FUTURE POLICYHOLDER BENEFITS - Policyholder Account Balance (Details) - USD ($) $ in Millions | 3 Months Ended | |||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | |
Liability for Future Policy Benefit, Expected Future Policy Benefit [Roll Forward] | ||||
Liability for future policy benefits | $ 17,324 | $ 17,363 | ||
Term | ||||
Liability for Future Policy Benefit, Expected Future Policy Benefit [Roll Forward] | ||||
Liability for future policy benefits | 1,316 | 1,348 | ||
Payout - Non-Legacy | ||||
Liability for Future Policy Benefit, Expected Future Policy Benefit [Roll Forward] | ||||
Liability for future policy benefits | 820 | 844 | ||
Payout - Legacy | ||||
Liability for Future Policy Benefit, Expected Future Policy Benefit [Roll Forward] | ||||
Liability for future policy benefits | 3,767 | 3,620 | ||
Group Pension | ||||
Liability for Future Policy Benefit, Expected Future Policy Benefit [Roll Forward] | ||||
Liability for future policy benefits | 473 | 490 | ||
Health | ||||
Liability for Future Policy Benefit, Expected Future Policy Benefit [Roll Forward] | ||||
Liability for future policy benefits | 1,450 | 1,505 | ||
Operating Segments | Protection Solutions | Term | ||||
Liability for Future Policy Benefit, Expected Net Premium [Roll Forward] | ||||
Beginning balance | 2,133 | $ 2,100 | ||
Beginning balance at original discount rate | 2,058 | 2,078 | ||
Effect of changes in cash flow assumptions | (18) | $ 8 | ||
Effect of actual variances from expected experience | (18) | 3 | ||
Adjusted beginning of period balance | 2,022 | 2,089 | ||
Issuances | 11 | 15 | ||
Interest accrual | 25 | 25 | ||
Net premiums collected | (49) | (51) | ||
Ending balance at original discount rate | 2,009 | 2,078 | ||
Effect of changes in discount rate assumptions | 17 | 82 | ||
Ending balance | 2,026 | 2,160 | ||
Liability for Future Policy Benefit, Expected Future Policy Benefit [Roll Forward] | ||||
Balance, beginning of period | 3,480 | 3,465 | ||
Beginning balance of original discount rate | 3,330 | 3,391 | ||
Effect of changes in cash flow assumptions | (20) | 9 | ||
Effect of actual variances from expected experience | (23) | 4 | ||
Adjusted beginning of period balance | 3,287 | 3,404 | ||
Issuances | 12 | 16 | ||
Interest accrual | 41 | 42 | ||
Benefits payments | (64) | (95) | ||
Ending Balance at original discount rate | 3,276 | 3,367 | ||
Effect of changes in discount rate assumptions | 65 | 164 | ||
Balance, end of period | 3,341 | 3,531 | ||
Impact of flooring LFPB at zero | 1 | 0 | ||
Liability for future policy benefits | 1,316 | 1,371 | ||
Less: Reinsurance recoverable | 24 | 27 | ||
Net liability for future policy benefits, after reinsurance recoverable | $ 1,340 | $ 1,398 | ||
Weighted-average duration of liability for future policyholder benefits (years) | 6 years 10 months 24 days | 7 years | ||
Operating Segments | Individual Retirement | Payout - Non-Legacy | ||||
Liability for Future Policy Benefit, Expected Net Premium [Roll Forward] | ||||
Beginning balance | $ 0 | $ 0 | ||
Beginning balance at original discount rate | 0 | 0 | ||
Effect of changes in cash flow assumptions | 0 | 0 | ||
Effect of actual variances from expected experience | 0 | 0 | ||
Adjusted beginning of period balance | 0 | 0 | ||
Issuances | 0 | 0 | ||
Interest accrual | 0 | 0 | ||
Net premiums collected | 0 | 0 | ||
Ending balance at original discount rate | 0 | 0 | ||
Effect of changes in discount rate assumptions | 0 | 0 | ||
Ending balance | 0 | 0 | ||
Liability for Future Policy Benefit, Expected Future Policy Benefit [Roll Forward] | ||||
Balance, beginning of period | 844 | 828 | ||
Beginning balance of original discount rate | 840 | 845 | ||
Effect of changes in cash flow assumptions | (1) | 0 | ||
Effect of actual variances from expected experience | (1) | 1 | ||
Adjusted beginning of period balance | 838 | 846 | ||
Issuances | 11 | 15 | ||
Interest accrual | 10 | 10 | ||
Benefits payments | (23) | (23) | ||
Ending Balance at original discount rate | 836 | 848 | ||
Effect of changes in discount rate assumptions | (16) | 6 | ||
Balance, end of period | 820 | 854 | ||
Impact of flooring LFPB at zero | 0 | 0 | ||
Liability for future policy benefits | 820 | 854 | ||
Less: Reinsurance recoverable | (1) | 0 | ||
Net liability for future policy benefits, after reinsurance recoverable | $ 819 | $ 854 | ||
Weighted-average duration of liability for future policyholder benefits (years) | 9 years 3 months 18 days | 9 years 4 months 24 days | ||
Operating Segments | Legacy | Payout - Legacy | ||||
Liability for Future Policy Benefit, Expected Net Premium [Roll Forward] | ||||
Beginning balance | $ 0 | $ 0 | ||
Beginning balance at original discount rate | 0 | 0 | ||
Effect of changes in cash flow assumptions | 0 | 0 | ||
Effect of actual variances from expected experience | 0 | 0 | ||
Adjusted beginning of period balance | 0 | 0 | ||
Issuances | 0 | 0 | ||
Interest accrual | 0 | 0 | ||
Net premiums collected | 0 | 0 | ||
Ending balance at original discount rate | 0 | 0 | ||
Effect of changes in discount rate assumptions | 0 | 0 | ||
Ending balance | 0 | 0 | ||
Liability for Future Policy Benefit, Expected Future Policy Benefit [Roll Forward] | ||||
Balance, beginning of period | 3,620 | 2,689 | ||
Beginning balance of original discount rate | 3,840 | 3,024 | ||
Effect of changes in cash flow assumptions | 0 | 0 | ||
Effect of actual variances from expected experience | (2) | 0 | ||
Adjusted beginning of period balance | 3,838 | 3,024 | ||
Issuances | 269 | 222 | ||
Interest accrual | 35 | 21 | ||
Benefits payments | (89) | (65) | ||
Ending Balance at original discount rate | 4,053 | 3,202 | ||
Effect of changes in discount rate assumptions | (286) | (258) | ||
Balance, end of period | 3,767 | 2,944 | ||
Impact of flooring LFPB at zero | 0 | 0 | ||
Liability for future policy benefits | 3,767 | 2,944 | ||
Less: Reinsurance recoverable | (1,068) | (589) | ||
Net liability for future policy benefits, after reinsurance recoverable | $ 2,699 | $ 2,355 | ||
Weighted-average duration of liability for future policyholder benefits (years) | 7 years 7 months 6 days | 7 years 10 months 24 days | ||
Corporate and Other | Group Pension | ||||
Liability for Future Policy Benefit, Expected Net Premium [Roll Forward] | ||||
Beginning balance | $ 0 | $ 0 | ||
Beginning balance at original discount rate | 0 | 0 | ||
Effect of changes in cash flow assumptions | 0 | 0 | ||
Effect of actual variances from expected experience | 0 | 0 | ||
Adjusted beginning of period balance | 0 | 0 | ||
Issuances | 0 | 0 | ||
Interest accrual | 0 | 0 | ||
Net premiums collected | 0 | 0 | ||
Ending balance at original discount rate | 0 | 0 | ||
Effect of changes in discount rate assumptions | 0 | 0 | ||
Ending balance | 0 | 0 | ||
Liability for Future Policy Benefit, Expected Future Policy Benefit [Roll Forward] | ||||
Balance, beginning of period | 490 | 523 | ||
Beginning balance of original discount rate | 536 | 583 | ||
Effect of changes in cash flow assumptions | 0 | 0 | ||
Effect of actual variances from expected experience | 1 | (1) | ||
Adjusted beginning of period balance | 537 | 582 | ||
Issuances | 0 | 0 | ||
Interest accrual | 5 | 5 | ||
Benefits payments | (16) | (17) | ||
Ending Balance at original discount rate | 526 | 570 | ||
Effect of changes in discount rate assumptions | (53) | (48) | ||
Balance, end of period | 473 | 522 | ||
Impact of flooring LFPB at zero | 0 | 0 | ||
Liability for future policy benefits | 473 | 522 | ||
Less: Reinsurance recoverable | 0 | 0 | ||
Net liability for future policy benefits, after reinsurance recoverable | $ 473 | $ 522 | ||
Weighted-average duration of liability for future policyholder benefits (years) | 7 years | 7 years 1 month 6 days | ||
Corporate and Other | Health | ||||
Liability for Future Policy Benefit, Expected Net Premium [Roll Forward] | ||||
Beginning balance | $ (21) | $ (5) | ||
Beginning balance at original discount rate | (22) | (5) | ||
Effect of changes in cash flow assumptions | 0 | 0 | ||
Effect of actual variances from expected experience | 1 | (6) | ||
Adjusted beginning of period balance | (21) | (11) | ||
Issuances | 0 | 0 | ||
Interest accrual | 0 | 0 | ||
Net premiums collected | 1 | 1 | ||
Ending balance at original discount rate | (20) | (10) | ||
Effect of changes in discount rate assumptions | 1 | 0 | ||
Ending balance | (19) | (10) | ||
Liability for Future Policy Benefit, Expected Future Policy Benefit [Roll Forward] | ||||
Balance, beginning of period | 1,484 | 1,553 | ||
Beginning balance of original discount rate | 1,672 | 1,795 | ||
Effect of changes in cash flow assumptions | 0 | 0 | ||
Effect of actual variances from expected experience | 1 | (7) | ||
Adjusted beginning of period balance | $ 1,673 | $ 1,788 | ||
Issuances | 0 | 0 | ||
Interest accrual | 14 | 15 | ||
Benefits payments | (41) | (33) | ||
Ending Balance at original discount rate | 1,646 | 1,770 | ||
Effect of changes in discount rate assumptions | (215) | (197) | ||
Balance, end of period | 1,431 | 1,573 | ||
Impact of flooring LFPB at zero | 0 | 0 | ||
Liability for future policy benefits | 1,450 | 1,583 | ||
Less: Reinsurance recoverable | (1,147) | (1,258) | ||
Net liability for future policy benefits, after reinsurance recoverable | $ 303 | $ 325 | ||
Weighted-average duration of liability for future policyholder benefits (years) | 8 years 7 months 6 days | 8 years 8 months 12 days |
LIABILITIES FOR FUTURE POLICY_5
LIABILITIES FOR FUTURE POLICYHOLDER BENEFITS - Schedule of Liability for Future Policy Benefits, Undiscounted and Discounted Expected Gross Premiums and Expected Future Benefits and Expenses (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Term | ||
Liability for Future Policy Benefit, Activity [Line Items] | ||
Expected future benefit payments and expenses (undiscounted) | $ 5,768 | $ 5,878 |
Expected future gross premiums (undiscounted) | 6,900 | 6,979 |
Expected future benefit payments and expenses (discounted; AOCI basis) | 3,341 | 3,480 |
Expected future gross premiums (discounted; AOCI basis) | 3,738 | 3,879 |
Payout - Legacy | ||
Liability for Future Policy Benefit, Activity [Line Items] | ||
Expected future benefit payments and expenses (undiscounted) | 5,530 | 5,204 |
Expected future gross premiums (undiscounted) | 0 | 0 |
Expected future benefit payments and expenses (discounted; AOCI basis) | 3,682 | 3,538 |
Expected future gross premiums (discounted; AOCI basis) | 0 | 0 |
Payout | ||
Liability for Future Policy Benefit, Activity [Line Items] | ||
Expected future benefit payments and expenses (undiscounted) | 1,414 | 1,426 |
Expected future gross premiums (undiscounted) | 0 | 0 |
Expected future benefit payments and expenses (discounted; AOCI basis) | 786 | 812 |
Expected future gross premiums (discounted; AOCI basis) | 0 | 0 |
Group Pension | ||
Liability for Future Policy Benefit, Activity [Line Items] | ||
Expected future benefit payments and expenses (undiscounted) | 654 | 668 |
Expected future gross premiums (undiscounted) | 0 | 0 |
Expected future benefit payments and expenses (discounted; AOCI basis) | 454 | 471 |
Expected future gross premiums (discounted; AOCI basis) | 0 | 0 |
Health | ||
Liability for Future Policy Benefit, Activity [Line Items] | ||
Expected future benefit payments and expenses (undiscounted) | 2,278 | 2,318 |
Expected future gross premiums (undiscounted) | 82 | 85 |
Expected future benefit payments and expenses (discounted; AOCI basis) | 1,415 | 1,468 |
Expected future gross premiums (discounted; AOCI basis) | $ 64 | $ 68 |
LIABILITIES FOR FUTURE POLICY_6
LIABILITIES FOR FUTURE POLICYHOLDER BENEFITS - Schedule of Liability for Future Policy Benefits, Revenue and Interest Accretion (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Liability for Future Policy Benefit, Activity [Line Items] | ||
Gross Premium | $ 159 | $ 114 |
Interest Accretion | 84 | 68 |
Term | ||
Liability for Future Policy Benefit, Activity [Line Items] | ||
Gross Premium | 88 | 70 |
Interest Accretion | 16 | 17 |
Payout - Legacy | ||
Liability for Future Policy Benefit, Activity [Line Items] | ||
Gross Premium | 59 | 27 |
Interest Accretion | 39 | 21 |
Payout | ||
Liability for Future Policy Benefit, Activity [Line Items] | ||
Gross Premium | 9 | 15 |
Interest Accretion | 10 | 10 |
Group Pension | ||
Liability for Future Policy Benefit, Activity [Line Items] | ||
Gross Premium | 0 | 0 |
Interest Accretion | 5 | 5 |
Health | ||
Liability for Future Policy Benefit, Activity [Line Items] | ||
Gross Premium | 3 | 2 |
Interest Accretion | $ 14 | $ 15 |
LIABILITIES FOR FUTURE POLICY_7
LIABILITIES FOR FUTURE POLICYHOLDER BENEFITS - Schedule of Liability for Future Policy Benefits, Weighted Average Interest Rates (Details) | Mar. 31, 2024 | Dec. 31, 2023 | Mar. 31, 2023 |
Liability for Future Policy Benefit, Activity [Line Items] | |||
Interest accretion rate | 4.50% | 4.50% | |
Term | |||
Liability for Future Policy Benefit, Activity [Line Items] | |||
Interest accretion rate | 5.60% | 5.60% | |
Current discount rate | 5.10% | 4.80% | |
Payout - Legacy | |||
Liability for Future Policy Benefit, Activity [Line Items] | |||
Interest accretion rate | 4.10% | 4% | |
Current discount rate | 5.10% | 4.90% | |
Individual Retirement - Payout | |||
Liability for Future Policy Benefit, Activity [Line Items] | |||
Interest accretion rate | 5.20% | 4.90% | |
Current discount rate | 5% | 5% | |
Group Pension | |||
Liability for Future Policy Benefit, Activity [Line Items] | |||
Interest accretion rate | 3.30% | 3.30% | |
Current discount rate | 5.10% | 4.80% | |
Health | |||
Liability for Future Policy Benefit, Activity [Line Items] | |||
Interest accretion rate | 5.20% | 4.90% | |
Current discount rate | 3.40% | 3.40% |
LIABILITIES FOR FUTURE POLICY_8
LIABILITIES FOR FUTURE POLICYHOLDER BENEFITS - Balances of and Changes in Additional Liabilities Related to Insurance Guarantees (Details) - USD ($) $ in Millions | 3 Months Ended | |||
Mar. 31, 2024 | Mar. 31, 2023 | Dec. 31, 2023 | Dec. 31, 2022 | |
Liability for Future Policy Benefit, Expected Future Policy Benefit [Roll Forward] | ||||
Net liability for additional liability | $ 17,324 | $ 17,363 | ||
Weighted Average Interest Rate | 4.50% | 4.50% | ||
Assessments | ||||
Liability for Future Policy Benefit, Expected Future Policy Benefit [Roll Forward] | ||||
Revenue and Interest Accretion | $ 164 | $ 172 | ||
Interest Accretion | ||||
Liability for Future Policy Benefit, Expected Future Policy Benefit [Roll Forward] | ||||
Revenue and Interest Accretion | 14 | $ 13 | ||
UL | ||||
Liability for Future Policy Benefit, Expected Future Policy Benefit [Roll Forward] | ||||
Net liability for additional liability | $ 1,194 | 1,193 | ||
Weighted Average Interest Rate | 4.50% | 4.50% | ||
UL | Assessments | ||||
Liability for Future Policy Benefit, Expected Future Policy Benefit [Roll Forward] | ||||
Revenue and Interest Accretion | $ 164 | $ 172 | ||
UL | Interest Accretion | ||||
Liability for Future Policy Benefit, Expected Future Policy Benefit [Roll Forward] | ||||
Revenue and Interest Accretion | 14 | 13 | ||
Protection Solutions | UL | ||||
Liability for Future Policy Benefit, Expected Future Policy Benefit [Roll Forward] | ||||
Balance, beginning of period | 1,193 | 1,109 | ||
Beginning balance before AOCI adjustments | 1,230 | 1,135 | ||
Effect of changes in interest rate & cash flow assumptions and model changes | 0 | $ 0 | ||
Effect of actual variances from expected experience | 1 | 6 | ||
Adjusted beginning of period balance | $ 1,231 | $ 1,141 | ||
Interest accrual | 14 | 13 | ||
Net assessments collected | 18 | 18 | ||
Benefits payments | (21) | (18) | ||
Ending balance before shadow reserve adjustments | 1,242 | 1,154 | ||
Effect of reserve adjustment recorded in AOCI | (48) | (21) | ||
Balance, end of period | 1,194 | 1,133 | ||
Net liability for additional liability | 1,194 | 1,133 | ||
Less: Reinsurance recoverable | 0 | 0 | ||
Net liability for future policy benefits, after reinsurance recoverable | $ 1,194 | $ 1,133 | ||
Weighted-average duration of additional liability - death benefit (years) | 19 years 8 months 12 days | 21 years 7 months 6 days |
MARKET RISK BENEFITS - Changes
MARKET RISK BENEFITS - Changes in the Market Risk Benefits for Deferred Variable Annuities (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Individual Retirement | GMxB Core | ||
Market Risk Benefit [Roll Forward] | ||
Balance, beginning of the period | $ 590 | $ 530 |
Balance BOP before changes in the instrument specific credit risk | 322 | 529 |
Model changes and effect of changes in cash flow assumptions | (2) | 0 |
Actual market movement effect | (160) | (211) |
Interest accrual | 16 | 18 |
Attributed fees accrued | 95 | 95 |
Benefit payments | (10) | (12) |
Actual policyholder behavior different from expected behavior | 5 | 7 |
Changes in future economic assumptions | (194) | 125 |
Issuances | (2) | (1) |
Balance EOP before changes in the instrument-specific credit risk | 70 | 550 |
Changes in the instrument-specific credit risk | 245 | (233) |
Balance, end of the period | $ 315 | $ 317 |
Weighted-average age of policyholders (years) | 64 years 7 months 6 days | 63 years 8 months 12 days |
Net amount at risk | $ 2,764 | $ 3,287 |
Legacy | GMxB Legacy | ||
Market Risk Benefit [Roll Forward] | ||
Balance, beginning of the period | 13,418 | 14,699 |
Balance BOP before changes in the instrument specific credit risk | 13,028 | 15,314 |
Model changes and effect of changes in cash flow assumptions | (8) | 0 |
Actual market movement effect | (788) | (744) |
Interest accrual | 161 | 197 |
Attributed fees accrued | 200 | 209 |
Benefit payments | (321) | (342) |
Actual policyholder behavior different from expected behavior | (23) | 21 |
Changes in future economic assumptions | (923) | 944 |
Issuances | 0 | 0 |
Balance EOP before changes in the instrument-specific credit risk | 11,326 | 15,599 |
Changes in the instrument-specific credit risk | 375 | (1,517) |
Balance, end of the period | $ 11,701 | $ 14,082 |
Weighted-average age of policyholders (years) | 73 years 2 months 12 days | 72 years 9 months 18 days |
Net amount at risk | $ 19,673 | $ 21,472 |
Legacy | Purchased MRB | ||
Market Risk Benefit [Roll Forward] | ||
Balance, beginning of the period | (9,420) | (10,415) |
Balance BOP before changes in the instrument specific credit risk | (9,387) | (10,358) |
Model changes and effect of changes in cash flow assumptions | 150 | 0 |
Actual market movement effect | 393 | 387 |
Interest accrual | (113) | (153) |
Attributed fees accrued | (80) | (83) |
Benefit payments | 169 | 185 |
Actual policyholder behavior different from expected behavior | 9 | (18) |
Changes in future economic assumptions | 553 | (530) |
Issuances | 0 | 0 |
Balance EOP before changes in the instrument-specific credit risk | (8,306) | (10,570) |
Changes in the instrument-specific credit risk | (27) | (99) |
Balance, end of the period | $ (8,333) | $ (10,669) |
Weighted-average age of policyholders (years) | 72 years 9 months 18 days | 72 years 2 months 12 days |
Net amount at risk | $ 10,407 | $ 10,045 |
Legacy | Net Legacy | ||
Market Risk Benefit [Roll Forward] | ||
Balance, beginning of the period | 3,998 | 4,284 |
Balance BOP before changes in the instrument specific credit risk | 3,641 | 4,956 |
Model changes and effect of changes in cash flow assumptions | 142 | 0 |
Actual market movement effect | (395) | (357) |
Interest accrual | 48 | 44 |
Attributed fees accrued | 120 | 126 |
Benefit payments | (152) | (157) |
Actual policyholder behavior different from expected behavior | (14) | 3 |
Changes in future economic assumptions | (370) | 414 |
Issuances | 0 | 0 |
Balance EOP before changes in the instrument-specific credit risk | 3,020 | 5,029 |
Changes in the instrument-specific credit risk | 348 | (1,616) |
Balance, end of the period | $ 3,368 | $ 3,413 |
MARKET RISK BENEFITS - Reconcil
MARKET RISK BENEFITS - Reconciles Market Risk Benefits (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Market Risk Benefit [Line Items] | ||
Direct Asset | $ (818) | $ (591) |
Direct Liability | 12,814 | 14,612 |
Net Direct MRB | 11,996 | 14,021 |
Purchased MRB | (8,337) | (9,427) |
Total | 3,659 | 4,594 |
Individual Retirement | GMxB Core | ||
Market Risk Benefit [Line Items] | ||
Direct Asset | (558) | (418) |
Direct Liability | 873 | 1,008 |
Net Direct MRB | 315 | 590 |
Purchased MRB | 0 | 0 |
Total | 315 | 590 |
Legacy | GMxB Legacy | ||
Market Risk Benefit [Line Items] | ||
Direct Asset | (170) | (102) |
Direct Liability | 11,871 | 13,520 |
Net Direct MRB | 11,701 | 13,418 |
Purchased MRB | (8,333) | (9,420) |
Total | 3,368 | 3,998 |
Other | ||
Market Risk Benefit [Line Items] | ||
Direct Asset | (90) | (71) |
Direct Liability | 70 | 84 |
Net Direct MRB | (20) | 13 |
Purchased MRB | (4) | (7) |
Total | $ (24) | $ 6 |
POLICYHOLDER ACCOUNT BALANCES -
POLICYHOLDER ACCOUNT BALANCES - Reconciliation of Policyholders Account Balances to Policyholders' Account Balance Liability (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 | Mar. 31, 2023 | Dec. 31, 2022 |
Liability for Future Policy Benefit, Activity [Line Items] | ||||
Balance (exclusive of Funding Agreements) | $ 86,109 | $ 80,783 | ||
Funding Agreements | 14,137 | 14,890 | ||
Balance, end of period | 100,246 | 95,673 | ||
Protection Solutions | Universal Life | ||||
Liability for Future Policy Benefit, Activity [Line Items] | ||||
Policyholder account balance | 5,163 | 5,202 | $ 5,291 | $ 5,340 |
Protection Solutions | Variable Universal Life | ||||
Liability for Future Policy Benefit, Activity [Line Items] | ||||
Policyholder account balance | 4,886 | 4,862 | 4,851 | 4,909 |
Legacy Segment | GMxB Legacy | ||||
Liability for Future Policy Benefit, Activity [Line Items] | ||||
Policyholder account balance | 616 | 618 | 685 | 688 |
Individual Retirement | GMxB Core | ||||
Liability for Future Policy Benefit, Activity [Line Items] | ||||
Policyholder account balance | 22 | 36 | 55 | 69 |
Individual Retirement | SCS | ||||
Liability for Future Policy Benefit, Activity [Line Items] | ||||
Policyholder account balance | 54,373 | 49,002 | 38,637 | 35,702 |
Individual Retirement | EQUI-VEST Individual | ||||
Liability for Future Policy Benefit, Activity [Line Items] | ||||
Policyholder account balance | 2,242 | 2,322 | 2,574 | 2,652 |
Group Retirement | EQUI-VEST Group | ||||
Liability for Future Policy Benefit, Activity [Line Items] | ||||
Policyholder account balance | 11,430 | 11,563 | 11,952 | 12,045 |
Group Retirement | Momentum | ||||
Liability for Future Policy Benefit, Activity [Line Items] | ||||
Policyholder account balance | 590 | 608 | $ 683 | $ 702 |
Other | ||||
Liability for Future Policy Benefit, Activity [Line Items] | ||||
Policyholder account balance | $ 6,787 | $ 6,570 |
POLICYHOLDER ACCOUNT BALANCES_2
POLICYHOLDER ACCOUNT BALANCES - Balances and Changes in Policyholders' Account Balances (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Policyholder Account Balance [Roll Forward] | ||
Interest credited | $ 566 | $ 463 |
Protection Solutions | Universal Life | ||
Policyholder Account Balance [Roll Forward] | ||
Balance, beginning of period | 5,202 | 5,340 |
Premiums received | 166 | 184 |
Policy charges | (182) | (194) |
Surrenders and withdrawals | (20) | (18) |
Benefit payments | (58) | (76) |
Net transfers from (to) separate account | 0 | 0 |
Interest credited | 55 | 55 |
Other | 0 | 0 |
Balance, end of period | $ 5,163 | $ 5,291 |
Weighted-average crediting rate | 3.79% | 3.64% |
Net amount at risk | $ 34,991 | $ 37,031 |
Cash surrender value | 3,405 | 3,475 |
Protection Solutions | Variable Universal Life | ||
Policyholder Account Balance [Roll Forward] | ||
Balance, beginning of period | 4,862 | 4,909 |
Premiums received | 27 | 38 |
Policy charges | (64) | (65) |
Surrenders and withdrawals | (20) | (1) |
Benefit payments | (19) | (40) |
Net transfers from (to) separate account | 48 | (45) |
Interest credited | 52 | 55 |
Other | 0 | 0 |
Balance, end of period | $ 4,886 | $ 4,851 |
Weighted-average crediting rate | 3.73% | 3.81% |
Net amount at risk | $ 115,499 | $ 114,419 |
Cash surrender value | 3,186 | 3,293 |
Legacy Segment | GMxB Legacy | ||
Policyholder Account Balance [Roll Forward] | ||
Balance, beginning of period | 618 | 688 |
Premiums received | 19 | 20 |
Policy charges | 18 | 19 |
Surrenders and withdrawals | (22) | (25) |
Benefit payments | (24) | (24) |
Net transfers from (to) separate account | 1 | 0 |
Interest credited | 6 | 7 |
Other | 0 | 0 |
Balance, end of period | $ 616 | $ 685 |
Weighted-average crediting rate | 2.71% | 1.78% |
Net amount at risk | $ 19,673 | $ 21,472 |
Cash surrender value | 550 | 957 |
Individual Retirement | GMxB Core | ||
Policyholder Account Balance [Roll Forward] | ||
Balance, beginning of period | 36 | 69 |
Premiums received | 58 | 46 |
Policy charges | (6) | (4) |
Surrenders and withdrawals | (8) | (8) |
Benefit payments | (1) | (1) |
Net transfers from (to) separate account | (59) | (49) |
Interest credited | 2 | 2 |
Other | 0 | 0 |
Balance, end of period | $ 22 | $ 55 |
Weighted-average crediting rate | 1.65% | 1.05% |
Net amount at risk | $ 2,764 | $ 3,287 |
Cash surrender value | 258 | 284 |
Individual Retirement | SCS | ||
Policyholder Account Balance [Roll Forward] | ||
Balance, beginning of period | 49,002 | 35,702 |
Premiums received | 5 | 0 |
Policy charges | (4) | (1) |
Surrenders and withdrawals | (953) | (607) |
Benefit payments | (72) | (59) |
Net transfers from (to) separate account | 3,175 | 1,982 |
Interest credited | 3,220 | 1,620 |
Other | 0 | 0 |
Balance, end of period | 54,373 | $ 38,637 |
Weighted-average crediting rate | 1.12% | |
Net amount at risk | 0 | $ 43 |
Cash surrender value | 50,667 | 35,286 |
Individual Retirement | EQUI-VEST Individual | ||
Policyholder Account Balance [Roll Forward] | ||
Balance, beginning of period | 2,322 | 2,652 |
Premiums received | 7 | 11 |
Policy charges | 0 | 0 |
Surrenders and withdrawals | (91) | (94) |
Benefit payments | (15) | (20) |
Net transfers from (to) separate account | 2 | 3 |
Interest credited | 17 | 19 |
Other | 0 | 3 |
Balance, end of period | $ 2,242 | $ 2,574 |
Weighted-average crediting rate | 2.98% | 3.09% |
Net amount at risk | $ 104 | $ 128 |
Cash surrender value | 2,235 | 2,567 |
Group Retirement | EQUI-VEST Group | ||
Policyholder Account Balance [Roll Forward] | ||
Balance, beginning of period | 11,563 | 12,045 |
Premiums received | 151 | 148 |
Policy charges | (1) | (1) |
Surrenders and withdrawals | (443) | (405) |
Benefit payments | (17) | (17) |
Net transfers from (to) separate account | 81 | 69 |
Interest credited | 96 | 102 |
Other | 0 | 11 |
Balance, end of period | $ 11,430 | $ 11,952 |
Weighted-average crediting rate | 2.65% | 2.99% |
Net amount at risk | $ 6 | $ 58 |
Cash surrender value | 11,368 | 11,871 |
Group Retirement | Momentum | ||
Policyholder Account Balance [Roll Forward] | ||
Balance, beginning of period | 608 | 702 |
Premiums received | 18 | 19 |
Policy charges | 0 | 0 |
Surrenders and withdrawals | (30) | (30) |
Benefit payments | (1) | (2) |
Net transfers from (to) separate account | (8) | (9) |
Interest credited | 3 | 3 |
Other | 0 | 0 |
Balance, end of period | $ 590 | $ 683 |
Weighted-average crediting rate | 2.33% | 2.03% |
Net amount at risk | $ 0 | $ 0 |
Cash surrender value | $ 591 | $ 684 |
POLICYHOLDER ACCOUNT BALANCES_3
POLICYHOLDER ACCOUNT BALANCES - Guaranteed Minimum Interest Rates (Details) $ in Millions | Mar. 31, 2024 USD ($) | Dec. 31, 2023 USD ($) |
1 Basis Point - 50 Basis Points Above | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Basis points above guaranteed minimum crediting rate | 0.0001 | 0.0001 |
1 Basis Point - 50 Basis Points Above | Maximum | ||
Policyholder Account Balance [Line Items] | ||
Basis points above guaranteed minimum crediting rate | 0.0050 | 0.0050 |
51 Basis Points - 150 Basis Points Above | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Basis points above guaranteed minimum crediting rate | 0.0051 | 0.0051 |
51 Basis Points - 150 Basis Points Above | Maximum | ||
Policyholder Account Balance [Line Items] | ||
Basis points above guaranteed minimum crediting rate | 0.0150 | 0.0150 |
Greater Than 150 Basis Points Above | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Basis points above guaranteed minimum crediting rate | 0.0150 | 0.0150 |
Protection Solutions | Universal Life | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 5,133 | $ 5,170 |
Protection Solutions | Universal Life | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 6 | $ 6 |
Protection Solutions | Universal Life | 0.00% - 1.50% | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 0% | 0% |
Protection Solutions | Universal Life | 0.00% - 1.50% | Maximum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 1.50% | 1.50% |
Protection Solutions | Universal Life | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 1,026 | $ 1,022 |
Protection Solutions | Universal Life | 1.51% - 2.50% | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 1.51% | 1.51% |
Protection Solutions | Universal Life | 1.51% - 2.50% | Maximum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 2.50% | 2.50% |
Protection Solutions | Universal Life | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 4,101 | $ 4,142 |
Protection Solutions | Universal Life | Greater than2.50% | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 2.50% | 2.50% |
Protection Solutions | Universal Life | At Guaranteed Minimum | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 3,521 | $ 3,576 |
Protection Solutions | Universal Life | At Guaranteed Minimum | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Protection Solutions | Universal Life | At Guaranteed Minimum | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 38 | 61 |
Protection Solutions | Universal Life | At Guaranteed Minimum | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 3,484 | 3,515 |
Protection Solutions | Universal Life | 1 Basis Point - 50 Basis Points Above | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 707 | 696 |
Protection Solutions | Universal Life | 1 Basis Point - 50 Basis Points Above | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Protection Solutions | Universal Life | 1 Basis Point - 50 Basis Points Above | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 89 | 69 |
Protection Solutions | Universal Life | 1 Basis Point - 50 Basis Points Above | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 617 | 627 |
Protection Solutions | Universal Life | 51 Basis Points - 150 Basis Points Above | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 415 | 462 |
Protection Solutions | Universal Life | 51 Basis Points - 150 Basis Points Above | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Protection Solutions | Universal Life | 51 Basis Points - 150 Basis Points Above | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 415 | 462 |
Protection Solutions | Universal Life | 51 Basis Points - 150 Basis Points Above | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Protection Solutions | Universal Life | Greater Than 150 Basis Points Above | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 491 | 436 |
Protection Solutions | Universal Life | Greater Than 150 Basis Points Above | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 6 | 6 |
Protection Solutions | Universal Life | Greater Than 150 Basis Points Above | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 485 | 430 |
Protection Solutions | Universal Life | Greater Than 150 Basis Points Above | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Protection Solutions | Variable Universal Life | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 4,404 | 4,399 |
Protection Solutions | Variable Universal Life | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 121 | $ 111 |
Protection Solutions | Variable Universal Life | 0.00% - 1.50% | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 0% | 0% |
Protection Solutions | Variable Universal Life | 0.00% - 1.50% | Maximum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 1.50% | 1.50% |
Protection Solutions | Variable Universal Life | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 561 | $ 558 |
Protection Solutions | Variable Universal Life | 1.51% - 2.50% | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 1.51% | 1.51% |
Protection Solutions | Variable Universal Life | 1.51% - 2.50% | Maximum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 2.50% | 2.50% |
Protection Solutions | Variable Universal Life | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 3,723 | $ 3,730 |
Protection Solutions | Variable Universal Life | Greater than2.50% | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 2.50% | 2.50% |
Protection Solutions | Variable Universal Life | At Guaranteed Minimum | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 3,746 | $ 3,763 |
Protection Solutions | Variable Universal Life | At Guaranteed Minimum | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 13 | 16 |
Protection Solutions | Variable Universal Life | At Guaranteed Minimum | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 29 | 35 |
Protection Solutions | Variable Universal Life | At Guaranteed Minimum | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 3,703 | 3,712 |
Protection Solutions | Variable Universal Life | 1 Basis Point - 50 Basis Points Above | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 480 | 528 |
Protection Solutions | Variable Universal Life | 1 Basis Point - 50 Basis Points Above | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 23 | 33 |
Protection Solutions | Variable Universal Life | 1 Basis Point - 50 Basis Points Above | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 457 | 495 |
Protection Solutions | Variable Universal Life | 1 Basis Point - 50 Basis Points Above | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Protection Solutions | Variable Universal Life | 51 Basis Points - 150 Basis Points Above | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 157 | 94 |
Protection Solutions | Variable Universal Life | 51 Basis Points - 150 Basis Points Above | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 69 | 53 |
Protection Solutions | Variable Universal Life | 51 Basis Points - 150 Basis Points Above | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 74 | 28 |
Protection Solutions | Variable Universal Life | 51 Basis Points - 150 Basis Points Above | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 14 | 13 |
Protection Solutions | Variable Universal Life | Greater Than 150 Basis Points Above | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 21 | 14 |
Protection Solutions | Variable Universal Life | Greater Than 150 Basis Points Above | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 16 | 9 |
Protection Solutions | Variable Universal Life | Greater Than 150 Basis Points Above | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Protection Solutions | Variable Universal Life | Greater Than 150 Basis Points Above | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 5 | 5 |
Legacy Segment | GMxB Legacy | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 551 | 573 |
Legacy Segment | GMxB Legacy | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 87 | $ 91 |
Legacy Segment | GMxB Legacy | 0.00% - 1.50% | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 0% | 0% |
Legacy Segment | GMxB Legacy | 0.00% - 1.50% | Maximum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 1.50% | 1.50% |
Legacy Segment | GMxB Legacy | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 20 | $ 21 |
Legacy Segment | GMxB Legacy | 1.51% - 2.50% | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 1.51% | 1.51% |
Legacy Segment | GMxB Legacy | 1.51% - 2.50% | Maximum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 2.50% | 2.50% |
Legacy Segment | GMxB Legacy | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 444 | $ 461 |
Legacy Segment | GMxB Legacy | Greater than2.50% | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 2.50% | 2.50% |
Legacy Segment | GMxB Legacy | At Guaranteed Minimum | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 536 | $ 557 |
Legacy Segment | GMxB Legacy | At Guaranteed Minimum | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 72 | 75 |
Legacy Segment | GMxB Legacy | At Guaranteed Minimum | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 20 | 21 |
Legacy Segment | GMxB Legacy | At Guaranteed Minimum | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 444 | 461 |
Legacy Segment | GMxB Legacy | 1 Basis Point - 50 Basis Points Above | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 16 | 16 |
Legacy Segment | GMxB Legacy | 1 Basis Point - 50 Basis Points Above | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 16 | 16 |
Legacy Segment | GMxB Legacy | 1 Basis Point - 50 Basis Points Above | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Legacy Segment | GMxB Legacy | 1 Basis Point - 50 Basis Points Above | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Legacy Segment | GMxB Legacy | 51 Basis Points - 150 Basis Points Above | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Legacy Segment | GMxB Legacy | 51 Basis Points - 150 Basis Points Above | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Legacy Segment | GMxB Legacy | 51 Basis Points - 150 Basis Points Above | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Legacy Segment | GMxB Legacy | 51 Basis Points - 150 Basis Points Above | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Legacy Segment | GMxB Legacy | Greater Than 150 Basis Points Above | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Legacy Segment | GMxB Legacy | Greater Than 150 Basis Points Above | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Legacy Segment | GMxB Legacy | Greater Than 150 Basis Points Above | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Legacy Segment | GMxB Legacy | Greater Than 150 Basis Points Above | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Individual Retirement | GMxB Core | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 265 | 273 |
Individual Retirement | GMxB Core | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 196 | $ 205 |
Individual Retirement | GMxB Core | 0.00% - 1.50% | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 0% | 0% |
Individual Retirement | GMxB Core | 0.00% - 1.50% | Maximum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 1.50% | 1.50% |
Individual Retirement | GMxB Core | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 12 | $ 13 |
Individual Retirement | GMxB Core | 1.51% - 2.50% | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 1.51% | 1.51% |
Individual Retirement | GMxB Core | 1.51% - 2.50% | Maximum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 2.50% | 2.50% |
Individual Retirement | GMxB Core | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 57 | $ 55 |
Individual Retirement | GMxB Core | Greater than2.50% | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 2.50% | 2.50% |
Individual Retirement | GMxB Core | At Guaranteed Minimum | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 81 | $ 81 |
Individual Retirement | GMxB Core | At Guaranteed Minimum | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 12 | 13 |
Individual Retirement | GMxB Core | At Guaranteed Minimum | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 12 | 13 |
Individual Retirement | GMxB Core | At Guaranteed Minimum | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 57 | 55 |
Individual Retirement | GMxB Core | 1 Basis Point - 50 Basis Points Above | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 184 | 192 |
Individual Retirement | GMxB Core | 1 Basis Point - 50 Basis Points Above | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 184 | 192 |
Individual Retirement | GMxB Core | 1 Basis Point - 50 Basis Points Above | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Individual Retirement | GMxB Core | 1 Basis Point - 50 Basis Points Above | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Individual Retirement | GMxB Core | 51 Basis Points - 150 Basis Points Above | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Individual Retirement | GMxB Core | 51 Basis Points - 150 Basis Points Above | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Individual Retirement | GMxB Core | 51 Basis Points - 150 Basis Points Above | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Individual Retirement | GMxB Core | 51 Basis Points - 150 Basis Points Above | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Individual Retirement | GMxB Core | Greater Than 150 Basis Points Above | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Individual Retirement | GMxB Core | Greater Than 150 Basis Points Above | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Individual Retirement | GMxB Core | Greater Than 150 Basis Points Above | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Individual Retirement | GMxB Core | Greater Than 150 Basis Points Above | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Individual Retirement | EQUI-VEST Individual | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 2,240 | 2,321 |
Individual Retirement | EQUI-VEST Individual | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 259 | $ 267 |
Individual Retirement | EQUI-VEST Individual | 0.00% - 1.50% | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 0% | 0% |
Individual Retirement | EQUI-VEST Individual | 0.00% - 1.50% | Maximum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 1.50% | 1.50% |
Individual Retirement | EQUI-VEST Individual | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 41 | $ 43 |
Individual Retirement | EQUI-VEST Individual | 1.51% - 2.50% | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 1.51% | 1.51% |
Individual Retirement | EQUI-VEST Individual | 1.51% - 2.50% | Maximum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 2.50% | 2.50% |
Individual Retirement | EQUI-VEST Individual | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 1,940 | $ 2,011 |
Individual Retirement | EQUI-VEST Individual | Greater than2.50% | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 2.50% | 2.50% |
Individual Retirement | EQUI-VEST Individual | At Guaranteed Minimum | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 2,027 | $ 2,103 |
Individual Retirement | EQUI-VEST Individual | At Guaranteed Minimum | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 47 | 49 |
Individual Retirement | EQUI-VEST Individual | At Guaranteed Minimum | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 41 | 43 |
Individual Retirement | EQUI-VEST Individual | At Guaranteed Minimum | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 1,940 | 2,011 |
Individual Retirement | EQUI-VEST Individual | 1 Basis Point - 50 Basis Points Above | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 213 | 218 |
Individual Retirement | EQUI-VEST Individual | 1 Basis Point - 50 Basis Points Above | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 213 | 218 |
Individual Retirement | EQUI-VEST Individual | 1 Basis Point - 50 Basis Points Above | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Individual Retirement | EQUI-VEST Individual | 1 Basis Point - 50 Basis Points Above | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Individual Retirement | EQUI-VEST Individual | 51 Basis Points - 150 Basis Points Above | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Individual Retirement | EQUI-VEST Individual | 51 Basis Points - 150 Basis Points Above | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Individual Retirement | EQUI-VEST Individual | 51 Basis Points - 150 Basis Points Above | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Individual Retirement | EQUI-VEST Individual | 51 Basis Points - 150 Basis Points Above | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Individual Retirement | EQUI-VEST Individual | Greater Than 150 Basis Points Above | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Individual Retirement | EQUI-VEST Individual | Greater Than 150 Basis Points Above | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Individual Retirement | EQUI-VEST Individual | Greater Than 150 Basis Points Above | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Individual Retirement | EQUI-VEST Individual | Greater Than 150 Basis Points Above | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Group Retirement | EQUI-VEST Group | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 10,232 | 10,416 |
Group Retirement | EQUI-VEST Group | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 3,436 | $ 3,461 |
Group Retirement | EQUI-VEST Group | 0.00% - 1.50% | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 0% | 0% |
Group Retirement | EQUI-VEST Group | 0.00% - 1.50% | Maximum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 1.50% | 1.50% |
Group Retirement | EQUI-VEST Group | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 347 | $ 345 |
Group Retirement | EQUI-VEST Group | 1.51% - 2.50% | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 1.51% | 1.51% |
Group Retirement | EQUI-VEST Group | 1.51% - 2.50% | Maximum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 2.50% | 2.50% |
Group Retirement | EQUI-VEST Group | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 6,449 | $ 6,610 |
Group Retirement | EQUI-VEST Group | Greater than2.50% | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 2.50% | 2.50% |
Group Retirement | EQUI-VEST Group | At Guaranteed Minimum | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 7,551 | $ 7,727 |
Group Retirement | EQUI-VEST Group | At Guaranteed Minimum | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 756 | 772 |
Group Retirement | EQUI-VEST Group | At Guaranteed Minimum | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 347 | 345 |
Group Retirement | EQUI-VEST Group | At Guaranteed Minimum | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 6,448 | 6,610 |
Group Retirement | EQUI-VEST Group | 1 Basis Point - 50 Basis Points Above | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 2,356 | 2,338 |
Group Retirement | EQUI-VEST Group | 1 Basis Point - 50 Basis Points Above | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 2,356 | 2,338 |
Group Retirement | EQUI-VEST Group | 1 Basis Point - 50 Basis Points Above | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Group Retirement | EQUI-VEST Group | 1 Basis Point - 50 Basis Points Above | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Group Retirement | EQUI-VEST Group | 51 Basis Points - 150 Basis Points Above | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 36 | 36 |
Group Retirement | EQUI-VEST Group | 51 Basis Points - 150 Basis Points Above | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 36 | 36 |
Group Retirement | EQUI-VEST Group | 51 Basis Points - 150 Basis Points Above | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Group Retirement | EQUI-VEST Group | 51 Basis Points - 150 Basis Points Above | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Group Retirement | EQUI-VEST Group | Greater Than 150 Basis Points Above | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 289 | 315 |
Group Retirement | EQUI-VEST Group | Greater Than 150 Basis Points Above | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 289 | 315 |
Group Retirement | EQUI-VEST Group | Greater Than 150 Basis Points Above | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Group Retirement | EQUI-VEST Group | Greater Than 150 Basis Points Above | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Group Retirement | Momentum | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 589 | 607 |
Group Retirement | Momentum | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 384 | $ 395 |
Group Retirement | Momentum | 0.00% - 1.50% | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 0% | 0% |
Group Retirement | Momentum | 0.00% - 1.50% | Maximum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 1.50% | 1.50% |
Group Retirement | Momentum | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 133 | $ 139 |
Group Retirement | Momentum | 1.51% - 2.50% | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 1.51% | 1.51% |
Group Retirement | Momentum | 1.51% - 2.50% | Maximum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 2.50% | 2.50% |
Group Retirement | Momentum | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 72 | $ 73 |
Group Retirement | Momentum | Greater than2.50% | Minimum | ||
Policyholder Account Balance [Line Items] | ||
Guaranteed minimum credit rating | 2.50% | 2.50% |
Group Retirement | Momentum | At Guaranteed Minimum | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 199 | $ 206 |
Group Retirement | Momentum | At Guaranteed Minimum | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Group Retirement | Momentum | At Guaranteed Minimum | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 132 | 138 |
Group Retirement | Momentum | At Guaranteed Minimum | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 68 | 68 |
Group Retirement | Momentum | 1 Basis Point - 50 Basis Points Above | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 14 | 13 |
Group Retirement | Momentum | 1 Basis Point - 50 Basis Points Above | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 13 | 12 |
Group Retirement | Momentum | 1 Basis Point - 50 Basis Points Above | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 1 | 1 |
Group Retirement | Momentum | 1 Basis Point - 50 Basis Points Above | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Group Retirement | Momentum | 51 Basis Points - 150 Basis Points Above | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 322 | 335 |
Group Retirement | Momentum | 51 Basis Points - 150 Basis Points Above | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 318 | 330 |
Group Retirement | Momentum | 51 Basis Points - 150 Basis Points Above | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Group Retirement | Momentum | 51 Basis Points - 150 Basis Points Above | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 5 | 5 |
Group Retirement | Momentum | Greater Than 150 Basis Points Above | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 53 | 53 |
Group Retirement | Momentum | Greater Than 150 Basis Points Above | 0.00% - 1.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 53 | 53 |
Group Retirement | Momentum | Greater Than 150 Basis Points Above | 1.51% - 2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | 0 | 0 |
Group Retirement | Momentum | Greater Than 150 Basis Points Above | Greater than2.50% | ||
Policyholder Account Balance [Line Items] | ||
Policyholder account value | $ 0 | $ 0 |
POLICYHOLDER ACCOUNT BALANCES_4
POLICYHOLDER ACCOUNT BALANCES - Reconciliation of Separate Account Liabilities to Separate Account Liability balance (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 | Mar. 31, 2023 | Dec. 31, 2022 |
Liability for Future Policy Benefit, Activity [Line Items] | ||||
Separate Accounts liabilities | $ 133,735 | $ 127,251 | ||
Protection Solutions | Variable Universal Life | ||||
Liability for Future Policy Benefit, Activity [Line Items] | ||||
Separate Accounts liabilities | 17,007 | 15,821 | $ 14,084 | $ 13,187 |
Legacy Segment | GMxB Legacy | ||||
Liability for Future Policy Benefit, Activity [Line Items] | ||||
Separate Accounts liabilities | 34,860 | 33,794 | 33,459 | 32,616 |
Individual Retirement | GMxB Core | ||||
Liability for Future Policy Benefit, Activity [Line Items] | ||||
Separate Accounts liabilities | 30,820 | 29,829 | 28,549 | 27,772 |
Individual Retirement | EQUI-VEST Individual | ||||
Liability for Future Policy Benefit, Activity [Line Items] | ||||
Separate Accounts liabilities | 4,826 | 4,582 | 4,342 | 4,161 |
Individual Retirement | Investment Edge | ||||
Liability for Future Policy Benefit, Activity [Line Items] | ||||
Separate Accounts liabilities | 4,524 | 4,275 | 3,979 | 3,798 |
Group Retirement | EQUI-VEST Group | ||||
Liability for Future Policy Benefit, Activity [Line Items] | ||||
Separate Accounts liabilities | 29,018 | 26,959 | 23,940 | 22,393 |
Group Retirement | Momentum | ||||
Liability for Future Policy Benefit, Activity [Line Items] | ||||
Separate Accounts liabilities | 4,706 | 4,421 | $ 4,142 | $ 3,885 |
Other | ||||
Liability for Future Policy Benefit, Activity [Line Items] | ||||
Separate Accounts liabilities | $ 7,974 | $ 7,570 |
POLICYHOLDER ACCOUNT BALANCES_5
POLICYHOLDER ACCOUNT BALANCES - Balances and Changes in Separate Accounts Liability (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Separate Account, Liability [Roll Forward] | ||
Balance, beginning of the period | $ 127,251 | |
Balance, end of the period | 133,735 | |
Protection Solutions | VUL | ||
Separate Account, Liability [Roll Forward] | ||
Balance, beginning of the period | 15,821 | $ 13,187 |
Premiums and deposits | 306 | 287 |
Policy charges | (143) | (137) |
Surrenders and withdrawals | (142) | (117) |
Benefit payments | (16) | (24) |
Investment performance | 1,229 | 843 |
Net transfers from (to) General Account | (48) | 45 |
Other charges | 0 | 0 |
Balance, end of the period | 17,007 | 14,084 |
Cash surrender value | 16,648 | 13,755 |
Legacy Segment | GMxB Legacy | ||
Separate Account, Liability [Roll Forward] | ||
Balance, beginning of the period | 33,794 | 32,616 |
Premiums and deposits | 54 | 65 |
Policy charges | (168) | (178) |
Surrenders and withdrawals | (812) | (660) |
Benefit payments | (196) | (192) |
Investment performance | 2,189 | 1,808 |
Net transfers from (to) General Account | (1) | 0 |
Other charges | 0 | 0 |
Balance, end of the period | 34,860 | 33,459 |
Cash surrender value | 34,595 | 33,181 |
Individual Retirement | GMxB Core | ||
Separate Account, Liability [Roll Forward] | ||
Balance, beginning of the period | 29,829 | 27,772 |
Premiums and deposits | 504 | 256 |
Policy charges | (115) | (115) |
Surrenders and withdrawals | (820) | (559) |
Benefit payments | (78) | (56) |
Investment performance | 1,442 | 1,202 |
Net transfers from (to) General Account | 58 | 49 |
Other charges | 0 | 0 |
Balance, end of the period | 30,820 | 28,549 |
Cash surrender value | 29,979 | 27,680 |
Individual Retirement | EQUI-VEST Individual | ||
Separate Account, Liability [Roll Forward] | ||
Balance, beginning of the period | 4,582 | 4,161 |
Premiums and deposits | 18 | 26 |
Policy charges | (1) | (1) |
Surrenders and withdrawals | (129) | (100) |
Benefit payments | (15) | (14) |
Investment performance | 373 | 269 |
Net transfers from (to) General Account | (2) | (3) |
Other charges | 0 | 4 |
Balance, end of the period | 4,826 | 4,342 |
Cash surrender value | 4,792 | 4,310 |
Individual Retirement | Investment Edge | ||
Separate Account, Liability [Roll Forward] | ||
Balance, beginning of the period | 4,275 | 3,798 |
Premiums and deposits | 310 | 253 |
Policy charges | 0 | 0 |
Surrenders and withdrawals | (135) | (95) |
Benefit payments | (5) | (12) |
Investment performance | 258 | 175 |
Net transfers from (to) General Account | (179) | (140) |
Other charges | 0 | 0 |
Balance, end of the period | 4,524 | 3,979 |
Cash surrender value | 4,437 | 3,885 |
Group Retirement | EQUI-VEST Group | ||
Separate Account, Liability [Roll Forward] | ||
Balance, beginning of the period | 26,959 | 22,393 |
Premiums and deposits | 565 | 531 |
Policy charges | (4) | (4) |
Surrenders and withdrawals | (542) | (359) |
Benefit payments | (17) | (15) |
Investment performance | 2,138 | 1,438 |
Net transfers from (to) General Account | (81) | (69) |
Other charges | 0 | 25 |
Balance, end of the period | 29,018 | 23,940 |
Cash surrender value | 28,733 | 23,702 |
Group Retirement | Momentum | ||
Separate Account, Liability [Roll Forward] | ||
Balance, beginning of the period | 4,421 | 3,885 |
Premiums and deposits | 181 | 178 |
Policy charges | (6) | (5) |
Surrenders and withdrawals | (208) | (157) |
Benefit payments | (4) | (3) |
Investment performance | 314 | 235 |
Net transfers from (to) General Account | 8 | 9 |
Other charges | 0 | 0 |
Balance, end of the period | 4,706 | 4,142 |
Cash surrender value | $ 4,699 | $ 4,136 |
POLICYHOLDER ACCOUNT BALANCES_6
POLICYHOLDER ACCOUNT BALANCES - Aggregate Fair Value of Separate Account Assets (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | $ 133,735 | $ 127,251 |
Debt securities | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 73 | 76 |
Common Stock | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 2,262 | 2,213 |
Mutual Funds | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 130,048 | 123,583 |
Bonds and Notes | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 1,352 | 1,379 |
Protection Solutions | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 17,620 | 16,403 |
Protection Solutions | Debt securities | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 46 | 48 |
Protection Solutions | Common Stock | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 64 | 65 |
Protection Solutions | Mutual Funds | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 17,419 | 16,199 |
Protection Solutions | Bonds and Notes | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 91 | 91 |
Individual Retirement | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 41,794 | 40,152 |
Individual Retirement | Debt securities | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 1 | 1 |
Individual Retirement | Common Stock | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 35 | 34 |
Individual Retirement | Mutual Funds | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 41,755 | 40,113 |
Individual Retirement | Bonds and Notes | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 3 | 4 |
Group Retirement | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 35,706 | 33,249 |
Group Retirement | Debt securities | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 20 | 21 |
Group Retirement | Common Stock | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 450 | 447 |
Group Retirement | Mutual Funds | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 35,235 | 32,780 |
Group Retirement | Bonds and Notes | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 1 | 1 |
Corp & Other | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 3,664 | 3,645 |
Corp & Other | Debt securities | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 6 | 6 |
Corp & Other | Common Stock | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 1,713 | 1,667 |
Corp & Other | Mutual Funds | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 688 | 689 |
Corp & Other | Bonds and Notes | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 1,257 | 1,283 |
Legacy Segment | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 34,951 | 33,802 |
Legacy Segment | Debt securities | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 0 | 0 |
Legacy Segment | Common Stock | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 0 | 0 |
Legacy Segment | Mutual Funds | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | 34,951 | 33,802 |
Legacy Segment | Bonds and Notes | ||
Policyholder Account Balance [Line Items] | ||
Separate Accounts assets | $ 0 | $ 0 |
EMPLOYEE BENEFIT PLANS (Details
EMPLOYEE BENEFIT PLANS (Details) - Net Periodic Pension Expense - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Defined Benefit Plan Disclosure [Line Items] | ||
Service cost | $ 2 | $ 2 |
Interest cost | 30 | 31 |
Expected return on assets | (37) | (39) |
Prior Period Svc Cost Amortization | (1) | (1) |
Actuarial (gain) loss | 0 | 0 |
Net amortization | 14 | 9 |
Net Periodic Pension Expense | $ 8 | $ 2 |
INCOME TAXES (Details)
INCOME TAXES (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2024 USD ($) | |
Income Tax Disclosure [Abstract] | |
Increase in valuation allowance | $ 3 |
Valuation allowance | $ 237 |
EQUITY - Preferred Stock Activi
EQUITY - Preferred Stock Activity (Details) - shares | Mar. 31, 2024 | Dec. 31, 2023 |
Class of Stock [Line Items] | ||
Preferred stock, shares authorized (in shares) | 64,000 | 64,000 |
Preferred stock, shares issued (in shares) | 64,000 | 64,000 |
Preferred stock, shares outstanding (in shares) | 64,000 | 64,000 |
Series A | ||
Class of Stock [Line Items] | ||
Preferred stock, shares authorized (in shares) | 32,000 | 32,000 |
Preferred stock, shares issued (in shares) | 32,000 | 32,000 |
Preferred stock, shares outstanding (in shares) | 32,000 | 32,000 |
Series B | ||
Class of Stock [Line Items] | ||
Preferred stock, shares authorized (in shares) | 20,000 | 20,000 |
Preferred stock, shares issued (in shares) | 20,000 | 20,000 |
Preferred stock, shares outstanding (in shares) | 20,000 | 20,000 |
Series C | ||
Class of Stock [Line Items] | ||
Preferred stock, shares authorized (in shares) | 12,000 | 12,000 |
Preferred stock, shares issued (in shares) | 12,000 | 12,000 |
Preferred stock, shares outstanding (in shares) | 12,000 | 12,000 |
EQUITY - Dividends Declared (De
EQUITY - Dividends Declared (Details) - $ / shares | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Class of Stock [Line Items] | ||
Dividends declared per share of common stock (in dollars per share) | $ 0.22 | $ 0.20 |
Series A | ||
Class of Stock [Line Items] | ||
Dividends declared per share of preferred stock (in dollars per share) | 328 | 328 |
Series B | ||
Class of Stock [Line Items] | ||
Dividends declared per share of preferred stock (in dollars per share) | 0 | 0 |
Series C | ||
Class of Stock [Line Items] | ||
Dividends declared per share of preferred stock (in dollars per share) | $ 269 | $ 269 |
EQUITY - Share Repurchase - Nar
EQUITY - Share Repurchase - Narrative (Details) - USD ($) $ / shares in Units, $ in Millions | 1 Months Ended | 3 Months Ended | ||||||
Jan. 04, 2024 | Mar. 31, 2024 | Mar. 31, 2024 | Mar. 31, 2023 | Apr. 30, 2024 | Dec. 31, 2023 | Feb. 09, 2023 | Feb. 09, 2022 | |
Class of Stock [Line Items] | ||||||||
Aggregate amount of share repurchases authorized | $ 700 | $ 1,200 | ||||||
Share repurchase program, remaining authorized repurchase amount | $ 1,203 | $ 1,203 | ||||||
Shares repurchased (in shares) | 4,300,000 | 4,500,000 | ||||||
Accelerated Share Repurchase Agreement | ||||||||
Class of Stock [Line Items] | ||||||||
Shares repurchased (in shares) | 7,500,000 | 7,300,000 | ||||||
Share repurchases, average purchase price (in dollars per share) | $ 33.86 | $ 29.16 | ||||||
March, 2024 | ||||||||
Class of Stock [Line Items] | ||||||||
Aggregate amount of share repurchases authorized | $ 50 | $ 50 | ||||||
Shares repurchased (in shares) | 1,000,000 | |||||||
Pre-payment of share repurchases | $ 50 | $ 50 | ||||||
March, 2024 | Subsequent Event | ||||||||
Class of Stock [Line Items] | ||||||||
Additional shares received (in shares) | 235,302 | |||||||
December, 2023 | ||||||||
Class of Stock [Line Items] | ||||||||
Aggregate amount of share repurchases authorized | $ 95 | |||||||
Shares repurchased (in shares) | 2,300,000 | |||||||
Pre-payment of share repurchases | $ 95 | |||||||
Additional shares received (in shares) | 625,040 |
EQUITY - Cumulative Gains (Loss
EQUITY - Cumulative Gains (Losses) (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 | Mar. 31, 2023 | Dec. 31, 2022 |
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
AOCI | $ 3,755 | $ 4,388 | $ 5,471 | $ 3,141 |
Total accumulated other comprehensive income (loss) | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
AOCI | (8,210) | (7,817) | ||
Unrealized gains (losses) on investments | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
AOCI | (7,183) | (6,638) | ||
Market risk benefits - instrument-specific credit risk component | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
AOCI | (601) | (633) | ||
Liability for future policy benefits - current discount rate component | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
AOCI | 306 | 182 | ||
Defined benefit pension plans | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
AOCI | (645) | (652) | ||
Foreign currency translation adjustments | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
AOCI | (87) | (76) | ||
Less: Accumulated other comprehensive income (loss) attributable to noncontrolling interest | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
AOCI | (44) | (40) | ||
Accumulated other comprehensive income (loss) attributable to Holdings | ||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||||
AOCI | $ (8,166) | $ (7,777) | $ (6,516) | $ (8,992) |
EQUITY - Components of OCI, Net
EQUITY - Components of OCI, Net of Taxes (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Change in net unrealized gains (losses) on investments: | ||
Net unrealized gains (losses) arising during the period | $ (543) | $ 1,571 |
(Gains) losses reclassified into net income (loss) during the period | 21 | 63 |
Net unrealized gains (losses) on investments | (522) | 1,634 |
Adjustments for policyholders’ liabilities, DAC, insurance liability loss recognition and other | 9 | (8) |
Change in unrealized gains (losses), net of adjustments (net of deferred income tax expense (benefit) of $(133) and $341) | (513) | 1,626 |
Change in LFPB discount rate and MRB credit risk, net of tax | ||
Market risk benefits - changes in instrument-specific credit risk (net of deferred income tax expense (benefit) of $7 and $249) | 25 | 938 |
Liability for future policy benefits - changes in current discount rate (net of deferred income tax expense (benefit) of $26 and $(30) ) | 98 | (112) |
Change in defined benefit plans: | ||
Reclassification to Net income (loss) of amortization of net prior service credit included in net periodic cost | 8 | 20 |
Change in defined benefit plans (net of deferred income tax expense (benefit) of $(2), and $(6)) | 8 | 20 |
Foreign currency translation adjustments: | ||
Foreign currency translation gains (losses) arising during the period | (11) | 6 |
Foreign currency translation adjustment | (11) | 6 |
Total other comprehensive income (loss), net of income taxes | (393) | 2,478 |
Less: Other comprehensive income (loss) attributable to noncontrolling interest | (4) | 2 |
Other comprehensive income (loss) attributable to Holdings | (389) | 2,476 |
Deferred income tax expense (benefit) for change in unrealized gains (losses) | (133) | 341 |
Deferred income tax expense (benefit) for market risk benefits - change in instrument-specific credit risk | 7 | 249 |
Deferred income tax expense (benefit) for liability for future policy benefits - change in current discount rate | 26 | (30) |
Deferred income tax expense (benefit) for change in defined benefit plans | (2) | (6) |
Reclassification adjustment | $ (5) | $ (17) |
REDEEMABLE NONCONTROLLING INT_3
REDEEMABLE NONCONTROLLING INTEREST (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | ||
Stockholders' Equity Attributable to Noncontrolling Interest [Roll Forward] | |||
Balance, beginning of period | $ 770 | [1],[2] | $ 455 |
Net earnings (loss) attributable to redeemable noncontrolling interests | 18 | 12 | |
Purchase/change of redeemable noncontrolling interests | 203 | 146 | |
Balance, end of period | $ 991 | [1],[2] | $ 613 |
[1]See Note 14 of the Notes to these Consolidated Financial Statements for details of redeemable noncontrolling interest.[2]See Note 2 of the Notes to these Consolidated Financial Statements for details of balances with VIEs. |
COMMITMENTS AND CONTINGENT LI_3
COMMITMENTS AND CONTINGENT LIABILITIES - Narrative (Details) | 1 Months Ended | |||
Apr. 30, 2019 USD ($) shares | Mar. 31, 2024 USD ($) legalAction | May 31, 2023 USD ($) | Feb. 29, 2016 USD ($) federal_action | |
Loss Contingencies [Line Items] | ||||
Unaccrued amounts of reasonably possible range of losses | $ 100,000,000 | |||
Number of federal actions | federal_action | 3 | |||
Federal home loan bank stock | 336,000,000 | |||
Carrying value of collateral pledged for federal home loan bank | 9,500,000,000 | |||
Commitments by the company to provide equity financing | 1,300,000,000 | |||
Commitments under existing mortgage loan agreements | 700,000,000 | |||
Letter of Credit | ||||
Loss Contingencies [Line Items] | ||||
Undrawn balance | 17,000,000 | |||
Trust Notes | ||||
Loss Contingencies [Line Items] | ||||
Line of credit facility, maximum borrowing capacity | 10,000,000,000 | |||
Funding Agreement-Backed Commercial Paper Program | ||||
Loss Contingencies [Line Items] | ||||
Long-term line of credit outstanding | $ 3,000,000,000 | |||
Funding Agreement-Backed Commercial Paper Program | Equitable Financial | ||||
Loss Contingencies [Line Items] | ||||
Long-term line of credit outstanding | 675,000,000 | $ 1,000,000,000 | ||
Funding Agreement-Backed Commercial Paper Program | Equitable America | ||||
Loss Contingencies [Line Items] | ||||
Long-term line of credit outstanding | $ 0 | |||
Pre-Capitalized Trust Securities, Redeemable February 15, 2029 | ||||
Loss Contingencies [Line Items] | ||||
Shares issued (in shares) | shares | 600,000 | |||
Proceeds from offering | $ 600,000,000 | |||
Sale of stock, funding arrangement, period to issue senior notes to trust | 10 years | |||
Sale of stock, semi-annual facility fee, rate | 2.125% | |||
Pre-Capitalized Trust Securities, Redeemable February 15, 2049 | ||||
Loss Contingencies [Line Items] | ||||
Shares issued (in shares) | shares | 400,000 | |||
Proceeds from offering | $ 400,000,000 | |||
Sale of stock, funding arrangement, period to issue senior notes to trust | 30 years | |||
Sale of stock, semi-annual facility fee, rate | 2.715% | |||
NEW YORK | ||||
Loss Contingencies [Line Items] | ||||
Number of actions | legalAction | 1 | |||
Brach Family Foundation Litigation | ||||
Loss Contingencies [Line Items] | ||||
Liability for future policy benefits, face value of policy | $ 1,000,000 |
COMMITMENTS AND CONTINGENT LI_4
COMMITMENTS AND CONTINGENT LIABILITIES - Funding Agreements (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Dec. 31, 2023 | |
Federal Home Loan Bank (FHLB) | ||
Restructuring Reserve [Roll Forward] | ||
Outstanding Balance, period start | $ 7,615 | |
Issued During the Period | 15,193 | |
Repaid During the Period | (15,643) | |
Long-term Agreements Maturing Within One Year | 0 | |
Long-term Agreements Maturing Within Five Years | 0 | |
Outstanding Balance, period end | 7,165 | |
Difference related to remaining amortization | 3 | $ 3 |
Federal Home Loan Bank (FHLB) | Due in one year or less | ||
Restructuring Reserve [Roll Forward] | ||
Outstanding Balance, period start | 6,168 | |
Issued During the Period | 15,193 | |
Repaid During the Period | (15,643) | |
Long-term Agreements Maturing Within One Year | 0 | |
Long-term Agreements Maturing Within Five Years | 0 | |
Outstanding Balance, period end | 5,718 | |
Federal Home Loan Bank (FHLB) | Total long-term funding agreements | ||
Restructuring Reserve [Roll Forward] | ||
Outstanding Balance, period start | 1,447 | |
Issued During the Period | 0 | |
Repaid During the Period | 0 | |
Long-term Agreements Maturing Within One Year | 0 | |
Long-term Agreements Maturing Within Five Years | 0 | |
Outstanding Balance, period end | 1,447 | |
Federal Home Loan Bank (FHLB) | Due in years two through five | ||
Restructuring Reserve [Roll Forward] | ||
Outstanding Balance, period start | 799 | |
Issued During the Period | 0 | |
Repaid During the Period | 0 | |
Long-term Agreements Maturing Within One Year | 0 | |
Long-term Agreements Maturing Within Five Years | 0 | |
Outstanding Balance, period end | 799 | |
Federal Home Loan Bank (FHLB) | Due in more than five years | ||
Restructuring Reserve [Roll Forward] | ||
Outstanding Balance, period start | 648 | |
Issued During the Period | 0 | |
Repaid During the Period | 0 | |
Long-term Agreements Maturing Within One Year | 0 | |
Long-term Agreements Maturing Within Five Years | 0 | |
Outstanding Balance, period end | 648 | |
Funding Agreement-Backed Notes Program (FABN) | ||
Restructuring Reserve [Roll Forward] | ||
Outstanding Balance, period start | 6,284 | |
Issued During the Period | 0 | |
Repaid During the Period | 0 | |
Long-term Agreements Maturing Within One Year | 0 | |
Long-term Agreements Maturing Within Five Years | 0 | |
Foreign Currency Transaction Adjustment | (16) | |
Outstanding Balance, period end | 6,268 | |
Difference related to remaining amortization | 16 | $ 17 |
Funding Agreement-Backed Notes Program (FABN) | Due in one year or less | ||
Restructuring Reserve [Roll Forward] | ||
Outstanding Balance, period start | 1,000 | |
Issued During the Period | 0 | |
Repaid During the Period | 0 | |
Long-term Agreements Maturing Within One Year | 0 | |
Long-term Agreements Maturing Within Five Years | 0 | |
Foreign Currency Transaction Adjustment | 0 | |
Outstanding Balance, period end | 1,000 | |
Funding Agreement-Backed Notes Program (FABN) | Total long-term funding agreements | ||
Restructuring Reserve [Roll Forward] | ||
Outstanding Balance, period start | 5,284 | |
Issued During the Period | 0 | |
Repaid During the Period | 0 | |
Long-term Agreements Maturing Within One Year | 0 | |
Long-term Agreements Maturing Within Five Years | 0 | |
Foreign Currency Transaction Adjustment | (16) | |
Outstanding Balance, period end | 5,268 | |
Funding Agreement-Backed Notes Program (FABN) | Due in years two through five | ||
Restructuring Reserve [Roll Forward] | ||
Outstanding Balance, period start | 4,984 | |
Issued During the Period | 0 | |
Repaid During the Period | 0 | |
Long-term Agreements Maturing Within One Year | 0 | |
Long-term Agreements Maturing Within Five Years | 0 | |
Foreign Currency Transaction Adjustment | (16) | |
Outstanding Balance, period end | 4,968 | |
Funding Agreement-Backed Notes Program (FABN) | Due in more than five years | ||
Restructuring Reserve [Roll Forward] | ||
Outstanding Balance, period start | 300 | |
Issued During the Period | 0 | |
Repaid During the Period | 0 | |
Long-term Agreements Maturing Within One Year | 0 | |
Long-term Agreements Maturing Within Five Years | 0 | |
Foreign Currency Transaction Adjustment | 0 | |
Outstanding Balance, period end | $ 300 |
BUSINESS SEGMENT INFORMATION -
BUSINESS SEGMENT INFORMATION - Narrative (Details) $ in Millions | 3 Months Ended | 12 Months Ended | |
Mar. 31, 2024 guaranteedLivingBenefitRider clientChannel segment | Dec. 31, 2023 USD ($) | Dec. 31, 2022 USD ($) | |
Segment Reporting Information [Line Items] | |||
Number of reportable segments | segment | 6 | ||
Corporate and Other | |||
Segment Reporting Information [Line Items] | |||
Impact of collateral expense | $ 37.8 | $ 5.7 | |
Investment Management and Research | |||
Segment Reporting Information [Line Items] | |||
Number of main client channels | clientChannel | 3 | ||
Legacy | |||
Segment Reporting Information [Line Items] | |||
Number of guaranteed living benefit riders | guaranteedLivingBenefitRider | 4 | ||
Legacy | Adjustments | |||
Segment Reporting Information [Line Items] | |||
Impact of collateral expense | (4.2) | (1) | |
Individual Retirement | Adjustments | |||
Segment Reporting Information [Line Items] | |||
Impact of collateral expense | (4) | (0.8) | |
Group Retirement | Adjustments | |||
Segment Reporting Information [Line Items] | |||
Impact of collateral expense | (7.7) | (1.4) | |
Protection Solutions | Adjustments | |||
Segment Reporting Information [Line Items] | |||
Impact of collateral expense | $ (21.9) | $ (2.5) |
BUSINESS SEGMENT INFORMATION _2
BUSINESS SEGMENT INFORMATION - Reconciliation of Operating Profit (Loss) from Segments to Consolidated (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Segment Reporting Information [Line Items] | ||
Net income (loss) attributable to Holdings | $ 114 | $ 177 |
Adjustments related to: | ||
Non-GAAP Operating Earnings | 490 | 364 |
Decrease in deferred tax valuation allowance | (3) | |
Net Income | ||
Adjustments related to: | ||
Decrease in deferred tax valuation allowance | 614 | |
Adjustments | ||
Segment Reporting Information [Line Items] | ||
Net income (loss) attributable to Holdings | 114 | 177 |
Adjustments related to: | ||
Variable annuity product features | 319 | 861 |
Investment (gains) losses | 39 | 87 |
Net actuarial (gains) losses related to pension and other postretirement benefit obligations | 17 | 9 |
Other adjustments | 91 | 45 |
Income tax expense (benefit) related to above adjustments | (98) | (210) |
Non-recurring tax items | 8 | (605) |
Gross legal expenses related to cost of insurance litigation | 106 | |
Operating Segments | Individual Retirement | ||
Adjustments related to: | ||
Non-GAAP Operating Earnings | 228 | 200 |
Operating Segments | Group Retirement | ||
Adjustments related to: | ||
Non-GAAP Operating Earnings | 126 | 89 |
Operating Segments | Investment Management and Research | ||
Adjustments related to: | ||
Non-GAAP Operating Earnings | 106 | 99 |
Operating Segments | Protection Solutions | ||
Adjustments related to: | ||
Non-GAAP Operating Earnings | 41 | (35) |
Operating Segments | Wealth Management | ||
Adjustments related to: | ||
Non-GAAP Operating Earnings | 43 | 32 |
Operating Segments | Legacy | ||
Adjustments related to: | ||
Non-GAAP Operating Earnings | 51 | 60 |
Corporate and Other | ||
Adjustments related to: | ||
Non-GAAP Operating Earnings | (105) | (81) |
Interest and debt expense | $ 56 | $ 67 |
BUSINESS SEGMENT INFORMATION _3
BUSINESS SEGMENT INFORMATION - Reconciliation of Revenue from Segments to Consolidated (Details) - USD ($) $ in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Segment Reporting Information [Line Items] | ||
Total revenues | $ 2,230 | $ 2,357 |
Adjustments related to: | ||
Total revenues | 2,230 | 2,357 |
Investment expenses | 26 | 26 |
Operating Segments | Individual Retirement | ||
Segment Reporting Information [Line Items] | ||
Total revenues | 766 | 588 |
Operating Segments | Group Retirement | ||
Segment Reporting Information [Line Items] | ||
Total revenues | 292 | 237 |
Operating Segments | Investment Management and Research | ||
Segment Reporting Information [Line Items] | ||
Total revenues | 1,093 | 1,009 |
Operating Segments | Protection Solutions | ||
Segment Reporting Information [Line Items] | ||
Total revenues | 825 | 767 |
Operating Segments | Wealth Management | ||
Segment Reporting Information [Line Items] | ||
Total revenues | 423 | 362 |
Operating Segments | Legacy | ||
Segment Reporting Information [Line Items] | ||
Total revenues | 210 | 206 |
Corporate and Other | ||
Segment Reporting Information [Line Items] | ||
Total revenues | 246 | 281 |
Eliminations | ||
Segment Reporting Information [Line Items] | ||
Total revenues | (216) | (180) |
Eliminations | Investment Management and Other Fees | ||
Adjustments related to: | ||
Revenues | 42 | 43 |
Eliminations | AB Holding | ||
Adjustments related to: | ||
Investment expenses | 36 | 38 |
Eliminations | Wealth Management | ||
Adjustments related to: | ||
Expense related to distribution fees | 200 | 175 |
Adjustments | ||
Adjustments related to: | ||
Variable annuity product features | (319) | (861) |
Investment gains (losses), net | (39) | (87) |
Other adjustments to segment revenues | $ (1,051) | $ 35 |
BUSINESS SEGMENT INFORMATION _4
BUSINESS SEGMENT INFORMATION - Reconciliation of Assets from Segment to Consolidated (Details) - USD ($) $ in Millions | Mar. 31, 2024 | Dec. 31, 2023 |
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total assets | $ 285,577 | $ 276,814 |
Operating Segments | Individual Retirement | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total assets | 94,514 | 90,805 |
Operating Segments | Group Retirement | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total assets | 49,351 | 47,260 |
Operating Segments | Investment Management and Research | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total assets | 11,276 | 11,088 |
Operating Segments | Protection Solutions | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total assets | 40,102 | 38,933 |
Operating Segments | Wealth Management | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total assets | 199 | 144 |
Operating Segments | Legacy | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total assets | 49,711 | 49,487 |
Corporate and Other | ||
Revenues from External Customers and Long-Lived Assets [Line Items] | ||
Total assets | $ 40,424 | $ 39,097 |
INSURANCE STATUTORY FINANCIAL_2
INSURANCE STATUTORY FINANCIAL INFORMATION (Details) | 3 Months Ended | ||
Mar. 31, 2024 USD ($) prescribed_and_permitted_practice | Sep. 30, 2022 | Jun. 30, 2021 USD ($) | |
Related Party Transaction [Line Items] | |||
Number of prescribed and permitted practices | prescribed_and_permitted_practice | 5 | ||
Change in statutory surplus | $ (72,000,000) | ||
Statement of Statutory Accounting Principles 108 | |||
Related Party Transaction [Line Items] | |||
Change in statutory special surplus funds | 32,000,000 | ||
Unassigned surplus balance | $ 0 | ||
Change in statutory surplus | $ 942,000,000 | ||
Target liability change percentage | 100% | ||
Regulation Number 213 | |||
Related Party Transaction [Line Items] | |||
Change in statutory surplus | $ (182,000,000) | ||
Percentage of reserves phased-in | 100% | ||
Redundant reserve balance over TAR | 173,000,000 | ||
Regulation Number 213 with Seperate Accounts | |||
Related Party Transaction [Line Items] | |||
Change in statutory surplus | $ 1,800,000,000 |
EARNINGS PER COMMON SHARE - Bas
EARNINGS PER COMMON SHARE - Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Millions, $ in Millions | 3 Months Ended | ||
Mar. 31, 2024 | Mar. 31, 2023 | ||
Weighted-average common shares outstanding: | |||
Weighted-average common shares outstanding — basic (in shares) | 330.2 | 361.9 | |
Effect of dilutive potential common shares, employee stock awards (in shares) | 2.5 | 2.2 | |
Weighted average common shares outstanding - diluted (in shares) | 332.7 | 364.1 | |
Net income (loss): | |||
Net income (loss) | $ 217 | $ 266 | |
Less: Net income (loss) attributable to the noncontrolling interest | [1] | 103 | 89 |
Net income (loss) attributable to Holdings | 114 | 177 | |
Less: Preferred stock dividends | 14 | 14 | |
Net income (loss) available to Holdings’ common shareholders, basic | 100 | 163 | |
Net income (loss) available to Holdings’ common shareholders, diluted | $ 100 | $ 163 | |
EPS: | |||
Basic (in dollars per share) | $ 0.30 | $ 0.45 | |
Diluted (in dollars per share) | $ 0.30 | $ 0.45 | |
[1]Includes redeemable noncontrolling interest. See Note 14 of the Notes to these Consolidated Financial Statements for details of redeemable noncontrolling interest. |
EARNINGS PER COMMON SHARE - Nar
EARNINGS PER COMMON SHARE - Narrative (Details) - shares shares in Millions | 3 Months Ended | |
Mar. 31, 2024 | Mar. 31, 2023 | |
Earnings Per Share [Abstract] | ||
Antidilutive securities (in shares) | 3 | 2.5 |
HELD-FOR-SALE - Narrative (Deta
HELD-FOR-SALE - Narrative (Details) $ in Millions | 3 Months Ended | 12 Months Ended | ||
Nov. 22, 2022 | Mar. 31, 2024 USD ($) | Dec. 31, 2023 USD ($) director | Dec. 31, 2023 USD ($) | |
NA JV | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Number of independent directors | director | 2 | |||
AB Holding | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Non cash valuation adjustment | $ 6 | $ 7 | ||
Payment of cost to sell | 7 | |||
AB Holding | JVs | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Liability for investment | $ 304 | |||
AB Holding | JVs | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Interest in joint venture | 49% | |||
Societe Generale | JVs | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Cash payment to equalize value of investment | $ 304 | |||
Societe Generale | JVs | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Interest in joint venture | 51% | |||
Interest in joint venture expected | 100% | 100% | 100% | |
Interest in joint venture maximum limit expected period | 5 years | 5 years | ||
Societe Generale | NA JV | ||||
Income Statement, Balance Sheet and Additional Disclosures by Disposal Groups, Including Discontinued Operations [Line Items] | ||||
Interest in joint venture | 51% | 51% | ||
Period for option to sell ownership interest in joint venture | 5 years |
HELD-FOR-SALE - Assets and Liab
HELD-FOR-SALE - Assets and Liabilities (Details) - USD ($) $ in Millions | 3 Months Ended | 12 Months Ended |
Mar. 31, 2024 | Dec. 31, 2023 | |
Disposal Group, Including Discontinued Operation, Liabilities [Abstract] | ||
Total liabilities held-for-sale | $ 239 | $ 153 |
Disposal Group, Held-for-sale or Disposed of by Sale, Not Discontinued Operations | Corporate Solutions Life Reinsurance Company (CS Life) | ||
Disposal Group, Including Discontinued Operation, Assets [Abstract] | ||
Cash and cash equivalents | 319 | 153 |
Broker-dealer related receivables | 69 | 107 |
Trading securities, at fair value | 13 | 17 |
Goodwill and other intangible assets, net | 164 | 164 |
Other assets | 180 | 124 |
Total assets held-for-sale | 745 | 565 |
Disposal Group, Including Discontinued Operation, Liabilities [Abstract] | ||
Broker-dealer related payables | 38 | 39 |
Customers related payables | 20 | 17 |
Other liabilities | 181 | 97 |
Total liabilities held-for-sale | 239 | 153 |
Other real estate, valuation adjustments | $ (6) | $ (7) |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) - USD ($) $ in Millions | 3 Months Ended | |||||
Apr. 03, 2024 | Mar. 31, 2024 | Mar. 31, 2023 | May 02, 2024 | Feb. 09, 2023 | Feb. 09, 2022 | |
Subsequent Event [Line Items] | ||||||
Aggregate amount of share repurchases authorized | $ 700 | $ 1,200 | ||||
Shares repurchased (in shares) | 4,300,000 | 4,500,000 | ||||
March, 2024 | ||||||
Subsequent Event [Line Items] | ||||||
Aggregate amount of share repurchases authorized | $ 80 | |||||
Subsequent Event | March, 2024 | ||||||
Subsequent Event [Line Items] | ||||||
Pre-payment of share repurchases | $ 80 | |||||
Shares repurchased (in shares) | 1,700,000 | |||||
Additional shares received (in shares) | 466,923 |